HardDrv not detected in bios - Reboot & select boot device msg

Hi,

i have a Advent Atom N270 laptop which has encountered a problem.
When i boot my PC i get the following error: Reboot & Select a proper boot device or insert boot media in selected boot device & press any key".

I went into BIOS to see the Hard Drive status but i can't see any option where the HD is detected (so i assume it is not being detected).

I thought this issue meant the HD must be the problem. However, i took the HD out of the Advent & tried it on another laptop and it worked fine. Also, i used the working lapyops HD to test the Advent Atom laptop & i get the same error - even though the HD i tried is a perfectly working one.

I have checked to see if the hard drive has power going to it & i can hear it spinning.
I have tried the recovery CDs but they won't install (assuiming thatw ithout a drive, the recovery software can't install).
The hard drives in question are SATA drives

I'm completely confused as to what the issue can be. If it isn't the hard drive then what can it be?
Can anyone please help me with this issue?

regards, Shuja