Original post by: Jetlabb ,
Not sure if you have tried this, but somewhere along the installation you should be able to click disk utility. It might be in a menu bar or just a plain button. The drive needs to be formatted before being installed to is my bet. You should find your drive and initialize it as GUID partition Map and Mac OS X extended, journaled, it should be the defaults. You may have to reboot in order for the installer to see the disk. I am not sure if you have another mac around but if you do you could connect the drive to it either as a external drive or whatever and use the disk utility within mac rather than doing it through the installer.