Not too clear on just what you have done, but if you reformatted the disk at some point, you may have erased the Recovery HD on the disk itself. So that would leave you having to try Internet Recovery (Option-Command-R) to install the original OS.


The problem may well be that Lion is not the original OS. This Mac originally shipped with Snow Leopard install discs, which you do not have. It did not originally ship with Lion, so there may be some issue there which is keeping you from completing the installation of Lion using Internet Recovery since Internet Recovery is intended to install the OS the Mac originally shipped with.


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Are you wanting to sell or give away this Mac? If so, it needs to have the OS it originally shipped with installed, which would be 10.6.6 or 10.6.7 Snow Leopard. If you have access to an Apple Store, they could probably do this for you from their store feed. Snow Leopard can be updated to where the Mac App Store is available, and the new owner can install anything they want under their own Apple ID. This Mac can be upgraded to run Sierra.

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I don't know if replacement install discs are still available from Apple for this Mac, but if you can get it done for free at the Apple Store that would be a better option for you.


Mac Os X Lion Operating System Download

Good luck!

Mac Operating System Lion Download Iso

Mar 19, 2017 7:21 PM