>>lets say I can get past the driver and service pack issues. can I change an oem to a VLK
Yes, boot to the VLK CD and run the repair reinstall - like it sounds you've been attempting to do (http://www.michaelstevenstech.com/XPrepairinstall.htm). The XP version will then match the VLK not the OEM version type.
Depending on your type of VLK media the system will either be pre-registered with the activation status set or request your VLK to be entered. If you get neither you'll have to force XP to request registration by altering the registration status in the registry to get OOBE to run.
What we need to fix first is the BSOD you're getting. This might be because there's an OEM boot partition that the XP install doesn't know how to handle and if so you'll need to do a clean install of the VLK anyway.
