Nice - sounds like a Sonnet G4 upgrade! By the sounds of things you know this, but OS X must be installed on the first 8GB (and smaller) partition; OS 9.x can be installed anywhere. You might also want to use XPostFacto to install OS X - go for 10.3 (and update to 10.3.9) which should run well on this. 10.3 requires XPostFacto install, and I recall 10.2 is the same.
JB
JB