WIndows XP reapir setup restarts at 9 minutes to go.

Sounds to me like your computer is infected.
I would do a scan with Avira AntiVir Rescue System  
http://www.avira.com/en/support-download-avira-antivir-rescue-system 

This sounds like you could be trying to repair a system that has a higher service pack than your installation disk. This will not work. You need to have the same SP version on both the CD and the installed system.

Use another Windows computer to slipstream your SP into the install CD with Nlite: http://www.nliteos.com/
Here's a guide: http://www.nliteos.com/guide/

Alternatively, you could use a bootable CD like Parted Magic ( www.partedmagic.com ) to copy the complete contents of your HDD to an external backup drive, then reinstall Windows from scratch, apply drivers and service packs, and fill up your user profile with the data from the backup (again via bootable CD).

Both ways may be a bit tricky; I'd try the first one first.

can you disable the lan in the bios ? then test again

Hi there

So here is what I tried:

I double check my distribution of Windows XP. I downloaded Windows XP SP3 Volume License image from MSDN site, since I have MSDN subscription and burned it to CD. But the result was the same.

Then according to this article http://support.microsoft.com/kb/299340 I have forced Standard PC HAL. The situation changed. Now the installation is hanging on "completing installation" stage at 27 minutes.

Also the keyboard stop working. So I have burned distribution of Windows XP in which serial number can be bypassed. Mouse works, but interesting that if I press the key on keyboard - mouse stops working.

Also I tried to disable LAN, Audio, flopy and USB 1.1 and USB 2.0 - still hanging on 27 minutes

Also I tried to force VGA mode before installation starts - the same result

Also I switched from IDE controller type to AHCI - still the same.

Tomorrow I will try to change processor and I will try another keyboards so that I press shift+f10 and read install log.

I didn't yet check for viruses. I had installed licensed copy of Kaspersky 2011 antivirus, so the possibility is little. However I will scan computer tomorrow from Kaspersky rescue disk.

The situation changed again. After I enabled VGA mode the installation doesn't start at all. Instead there is black screen with mouse pointer. I think it is somehow related to graphic drivers, but changing graphic card doesn't help. Tomorrow I will start installation from disk from very beginning, may be this will help.

is that an usb mouse/keyb?  can you try a PS/2 model?
if you want to be very sure, clean the disk with DBAN before installing - find it on the ubcd  : http://www.ultimatebootcd.com/      

Now there is another problem - black screen on first reboot, as is sad. I do not know when did it start. Perhaps after I enabled vga mode. Changing of graphic card doesn't help. So, may be you know - how can I disable VGA mode - may be the problem is at vga mode?

So I cannot check keyboard, because there is black screen.

Also what do you menn by DBAN - how it is related to my situation? Do you mean that I clear the drive with DBAN and copy data back? But how is it related to black screen?

Also here I attach ntbtlog.txt of my boot

Loaded driver \WINDOWS\system32\ntkrnlpa.exe
Loaded driver \WINDOWS\system32\hal.dll
Loaded driver \WINDOWS\system32\KDCOM.DLL
Loaded driver \WINDOWS\system32\BOOTVID.dll
Loaded driver ACPI.sys
Loaded driver \WINDOWS\System32\Drivers\WMILIB.SYS
Loaded driver PCI.sys
Loaded driver isapnp.sys
Loaded driver PCIIde.sys
Loaded driver \WINDOWS\System32\Drivers\PCIIDEX.SYS
Loaded driver MountMgr.sys
Loaded driver Ftdisk.sys
Loaded driver dmload.sys
Loaded driver dmio.sys
Loaded driver Fdc.sys
Loaded driver PartMgr.sys
Loaded driver VolSnap.sys
Loaded driver atapi.sys
Loaded driver iaStor.sys
Loaded driver disk.sys
Loaded driver \WINDOWS\system32\DRIVERS\CLASSPNP.SYS
Loaded driver fltMgr.sys
Loaded driver sr.sys
Loaded driver dmboot.sys
Loaded driver KSecDD.sys
Loaded driver Ntfs.sys
Loaded driver NDIS.sys
Loaded driver Mup.sys
Loaded driver \SystemRoot\system32\DRIVERS\intelppm.sys
Loaded driver \SystemRoot\System32\Drivers\usbuhci.SYS
Loaded driver \SystemRoot\System32\Drivers\usbehci.SYS
Loaded driver \SystemRoot\system32\DRIVERS\HDAudBus.sys
Loaded driver \SystemRoot\system32\DRIVERS\flpydisk.sys
Loaded driver \SystemRoot\System32\Drivers\Serial.SYS
Loaded driver \SystemRoot\System32\Drivers\serenum.SYS
Loaded driver \SystemRoot\system32\DRIVERS\parport.sys
Loaded driver \SystemRoot\system32\DRIVERS\i8042prt.sys
Loaded driver \SystemRoot\system32\DRIVERS\i8042prt.sys
Loaded driver \SystemRoot\system32\DRIVERS\cdrom.sys
Loaded driver \SystemRoot\system32\DRIVERS\dne2000.sys
Loaded driver \SystemRoot\system32\DRIVERS\audstub.sys
Loaded driver \SystemRoot\system32\DRIVERS\rasl2tp.sys
Loaded driver \SystemRoot\system32\DRIVERS\ndistapi.sys
Loaded driver \SystemRoot\system32\DRIVERS\ndiswan.sys
Loaded driver \SystemRoot\system32\DRIVERS\raspppoe.sys
Loaded driver \SystemRoot\system32\DRIVERS\raspptp.sys
Loaded driver \SystemRoot\system32\DRIVERS\msgpc.sys
Loaded driver \SystemRoot\system32\DRIVERS\psched.sys
Loaded driver \SystemRoot\system32\DRIVERS\ptilink.sys
Loaded driver \SystemRoot\system32\DRIVERS\raspti.sys
Loaded driver \SystemRoot\system32\DRIVERS\rdpdr.sys
Loaded driver \SystemRoot\system32\DRIVERS\termdd.sys
Loaded driver \SystemRoot\system32\DRIVERS\mouclass.sys
Loaded driver \SystemRoot\system32\DRIVERS\swenum.sys
Loaded driver \SystemRoot\system32\DRIVERS\update.sys
Loaded driver \SystemRoot\system32\DRIVERS\mssmbios.sys
Loaded driver \SystemRoot\System32\Drivers\usbhub.SYS
Loaded driver \SystemRoot\System32\Drivers\NDProxy.SYS
Did not load driver \SystemRoot\System32\Drivers\NDProxy.SYS
Did not load driver \SystemRoot\System32\Drivers\Sfloppy.SYS
Did not load driver \SystemRoot\System32\Drivers\i2omgmt.SYS
Did not load driver \SystemRoot\System32\Drivers\Changer.SYS
Did not load driver \SystemRoot\System32\Drivers\Cdaudio.SYS
Loaded driver \SystemRoot\System32\Drivers\Fs_Rec.SYS
Loaded driver \SystemRoot\System32\Drivers\Null.SYS
Loaded driver \SystemRoot\System32\Drivers\Beep.SYS
Loaded driver \SystemRoot\system32\DRIVERS\i8042prt.sys
Loaded driver \SystemRoot\System32\drivers\vga.sys
Loaded driver \SystemRoot\System32\Drivers\mnmdd.SYS
Loaded driver \SystemRoot\System32\DRIVERS\RDPCDD.sys
Loaded driver \SystemRoot\System32\Drivers\Msfs.SYS
Loaded driver \SystemRoot\System32\Drivers\Npfs.SYS
Loaded driver \SystemRoot\system32\DRIVERS\rasacd.sys
Loaded driver \SystemRoot\system32\DRIVERS\ipsec.sys
Loaded driver \SystemRoot\system32\DRIVERS\tcpip.sys
Loaded driver \SystemRoot\system32\DRIVERS\ipnat.sys
Loaded driver \SystemRoot\system32\DRIVERS\netbt.sys
Loaded driver \SystemRoot\system32\DRIVERS\wanarp.sys
Loaded driver \SystemRoot\System32\drivers\ws2ifsl.sys
Loaded driver \SystemRoot\System32\drivers\afd.sys
Loaded driver \SystemRoot\system32\DRIVERS\netbios.sys
Did not load driver \SystemRoot\%SystemRoot%\system32\svchost.exe -k netsvcs
Did not load driver \SystemRoot\System32\Drivers\PCIDump.SYS
Did not load driver \SystemRoot\system32\DRIVERS\redbook.sys
Loaded driver \SystemRoot\system32\DRIVERS\rdbss.sys
Loaded driver \SystemRoot\system32\DRIVERS\mrxsmb.sys
Loaded driver \SystemRoot\System32\Drivers\usbstor.SYS
Did not load driver \SystemRoot\system32\DRIVERS\imapi.sys
Loaded driver \SystemRoot\System32\Drivers\Fips.SYS
Loaded driver \SystemRoot\System32\Drivers\Fastfat.SYS
Loaded driver \SystemRoot\System32\Drivers\Cdfs.SYS

On a side note:
You could have spared yourself all this trouble if before trying to repair the Winsock you had made a backup of your entire registry.
I suggest EruNT for this: it's proven and timeless - http://www.larshederer.homepage.t-online.de/erunt/