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I was going with oc'ing and having it run cooler. It has the hsf mounts on the board.
My friend said Danger Dens are decent but water solutions are foreign to me.
Money wise I could drop 125 on a piece but it wouldn't be practical,
something moderately priced for the whats out there.
If he really wants to watercool and overclock, okay, but remind him that if he saved some more money he could really get a better computer rather than throwing flashy stuff into a slow old one.
If he's set on it...you can pay 70 bucks for a crappy system, but the old Paliminoes run hot (if that's what he has), so it probably wouldn't cool it that well. You can custom build a system for about 150 bucks that would be really great, but if he's that foreign to water cooling, he needs to read up more, rather than trying to get everything out of a couple forum posts.