To do what you wish to do, there is no need to do anything beyond setting up the 1TB drive in Windows Disk Management. (It would also be possible to do it all from the Windows Pre-installation Environment when you boot the Windows setup, but a lot of people prefer the Windows GUI to the Command Line.) Killdisk works fine but is quite unnecessary, and if you accidentally applied it to the original drive its contents would be lost.
When you add the second drive, on the first occasion you start up the computer, use whatever procedure your particular computer provides to select to still boot from the existing hard drive. If there is no operating system on the new drive, just data, this should not even be necessary, Windows should boot as normal.
Go to Computer/Manage/Disk Management, and you will see both drives, your original drive should be Drive 0 and the new one Drive 1. If the 1GB drive shows a single partition (like if it was a data drive), then choosing a Quick Format will be fine. If it shows more than one partition, by deleting all the partitions, you will clear the drive, and you can create and format a single partition.
Then you should shut down the computer, disconnect the original drive, and boot from the Windows install disk to set up Windows on the new drive.
Is it definite that your install disks provide everything you will need - your Windows setup, drivers etc?