[Crazy J]

How long do you think it will take you to do something like this? You realize 700 hp will break about any transfercase you MIGHT be able to stuff in that tiny truck... You think a TT 350 AWD completely custom fabricated S-10 won't be expensive??

The rearend in an S-10 would do good to take 250 rwhp, let alone 700...

How do you plan to stuff an SBC and all the turbo tubing and turbos under the hood of such a small truck? Sounds to me like you have a possible setup for a full size truck, but I think you will have a hard time crammin' all that drivetrain stuff into an S-10...

Please, don't take this as being negative or flaming, just playing the devil's advocate here...

pretty much everything you said is close if not dead on.

if he were to use and automatic the transfer case will survive 1000+ hp, so will the front and rear diffs.
if he uses a stick he'll rip the chain out of the BW4472 the first time he dumps the clutch, and if the t-case doesn't die the diffs will.

click here to see a 9 second syclone with the stock t-case and diffs. notice on the second page there's a link to a TT V8 syclone.

 

[Crazy J]

go over to syty.net and look through the forum. there are a couple of shops that can setup a th350 or th400 for use with the BW4472 t-case.
and of course your other options are 700r4, 4l60e, 4l65e and 4l80e. but these are a lot more expensive for that power level.