New hard drive not seen when using boot disc

[kinglenario]

hey guys, i have a macbook that my hard drive went down on yesterday. i bought a new hard drive and installed it. i then made a USB Frashdrive bootable Lion disc.

when i start the computer and hold down option only the flash drive shows up. i can start from that, and can see the new hard drive in disk utility. i formatted it Mac OS Journaled. but when i try to install Lion it says that i don't have 2GB of space available.

obviously it's trying to install on the USB drive and not the hard drive. it never gives me an option to select the hard drive.

what am i doing wrong here?

 

[harryb2448]

Erase, partition in one single partition using GUID. And how did you make the thumb drive - copying your hard disk or from the App Store download?

 

[kinglenario]

the problem was that i thought the error message meant that i didn't have enough hard disk space but it really meant that i didn't have enough RAM memory. i added a 2gig stick of ram for $30 and all is well.

Thanks!