Oh yeah you're using sarge... thats why there's no Xorg, it uses Xfree86, just upgrade to etch, sarge is too old to use...
Code:
su
vim /etc/apt/sources.list
Press the "insert" key, change all instances of "sarge" or "stable" to "etch" then hit escape and press shift+ZZ (that will save and quit vim) ... then
Code:
apt-get update
apt-get dist-upgrade
Then reboot with shutdown -r now and if that didn't fix the video problem, then post back here what the error messages are when xorg won't start.