XP can partition and format external drives.
Whether you can boot from it is another story.
It depends on whether your BIOS supports booting from a USB drive or not, and probably the usb housing used.
Test it to find out. You are the one with the hardware.
Partition drives is done in CTRL Panel-> Administative Tools -> Computer Management -> Disk Management
I have a 40GB Hard drive on a laptop and want to back-up the hard drive to an external drive, but also want to partition it. If i installed MAC on it, could my computer boot MAC from the external drive ?
Any advice welcome, thank you