I was playing around with it and I got the barebones of IE7 working. The browsing capability works, but I have no tabs, no title description, no menus, no Internet Settings, no history, no favorites.
Here's a screenshot:

Here are the instructions on how I got this much done:
1) Integrate build 3264 of SP3 to XP.
2) Integrate IE7 with nLite.
3) Use the following plugin:
CODE
; PE Builder v3 plug-in INF file
; IE7 Files
[Version]
Signature= "$Windows NT$"
[PEBuilder]
Name="Browser: IE7"
Enable=1
Help=
[SourceDisksFiles]
"C:\Program Files\Internet Explorer\custsat.dll"=1,,3
"C:\Program Files\Internet Explorer\hmmapi.dll"=1,,3
"C:\Program Files\Internet Explorer\iedw.exe"=1,,3
"C:\Program Files\Internet Explorer\ieproxy.dll"=1,,3
"C:\Windows\system32\admparse.dll"=2
"C:\Windows\system32\extmgr.dll"=2
"C:\Windows\system32\icardie.dll"=2
"C:\Windows\system32\icrav03.rat"=2
"C:\Windows\system32\idndl.dll"=2
"C:\Windows\system32\ieakeng.dll"=2
"C:\Windows\system32\ieaksie.dll"=2
"C:\Windows\system32\ieakui.dll"=2
"C:\Windows\system32\ieapfltr.dat"=2
"C:\Windows\system32\ieapfltr.dll"=2
"C:\Windows\system32\ieencode.dll"=2
"C:\Windows\system32\ieframe.dll"=2
"C:\Windows\system32\iertutil.dll"=2
"C:\Windows\system32\ieudinit.exe"=2
"C:\Windows\system32\ieui.dll"=2
;"C:\Windows\system32\mrt.exe"=2
"C:\Windows\system32\msfeeds.dll"=2
"C:\Windows\system32\msfeedsbs.dll"=2
"C:\Windows\system32\msfeedssync.exe"=2
"C:\Windows\system32\nlsdl.dll"=2
"c:\windows\system32\normaliz.dll"=2
"c:\windows\system32\normidna.nls"=2
"c:\windows\system32\normnfc.nls"=2
"c:\windows\system32\normnfd.nls"=2
"c:\windows\system32\normnfkc.nls"=2
"c:\windows\system32\normnfkd.nls"=2
"c:\windows\system32\occache.dll"=2
"c:\windows\system32\spmsg.dll"=2
"c:\windows\system32\spupdsvc.exe"=2
"c:\windows\system32\ticrf.rat"=2
"c:\windows\system32\WinFXDocObj.exe"=2
"c:\windows\system32\xmllite.dll"=2
; IE7 Files
[Version]
Signature= "$Windows NT$"
[PEBuilder]
Name="Browser: IE7"
Enable=1
Help=
[SourceDisksFiles]
"C:\Program Files\Internet Explorer\custsat.dll"=1,,3
"C:\Program Files\Internet Explorer\hmmapi.dll"=1,,3
"C:\Program Files\Internet Explorer\iedw.exe"=1,,3
"C:\Program Files\Internet Explorer\ieproxy.dll"=1,,3
"C:\Windows\system32\admparse.dll"=2
"C:\Windows\system32\extmgr.dll"=2
"C:\Windows\system32\icardie.dll"=2
"C:\Windows\system32\icrav03.rat"=2
"C:\Windows\system32\idndl.dll"=2
"C:\Windows\system32\ieakeng.dll"=2
"C:\Windows\system32\ieaksie.dll"=2
"C:\Windows\system32\ieakui.dll"=2
"C:\Windows\system32\ieapfltr.dat"=2
"C:\Windows\system32\ieapfltr.dll"=2
"C:\Windows\system32\ieencode.dll"=2
"C:\Windows\system32\ieframe.dll"=2
"C:\Windows\system32\iertutil.dll"=2
"C:\Windows\system32\ieudinit.exe"=2
"C:\Windows\system32\ieui.dll"=2
;"C:\Windows\system32\mrt.exe"=2
"C:\Windows\system32\msfeeds.dll"=2
"C:\Windows\system32\msfeedsbs.dll"=2
"C:\Windows\system32\msfeedssync.exe"=2
"C:\Windows\system32\nlsdl.dll"=2
"c:\windows\system32\normaliz.dll"=2
"c:\windows\system32\normidna.nls"=2
"c:\windows\system32\normnfc.nls"=2
"c:\windows\system32\normnfd.nls"=2
"c:\windows\system32\normnfkc.nls"=2
"c:\windows\system32\normnfkd.nls"=2
"c:\windows\system32\occache.dll"=2
"c:\windows\system32\spmsg.dll"=2
"c:\windows\system32\spupdsvc.exe"=2
"c:\windows\system32\ticrf.rat"=2
"c:\windows\system32\WinFXDocObj.exe"=2
"c:\windows\system32\xmllite.dll"=2
