If you've got the room for it and you're confident that you want liquid cooling, that kit seems fine, and if you're unsure about space you can check out the Zalman Reserator external liquid coolers, unfortunately though, they are markedly more expensive. And remember don't skimp on liquid cooling parts, any problems could be quite problematic, hope this helps........
Case:Antec 300
Processor: Intel Core2Duo E8400
Video: nVidia 8800GT
Memory: 2gb DDR2 1066
Motherboard: eVGA 750iFTW
Power Supply: Antec Neopower 650