ok your board is pretty old but will support up to a e6700,you can get a e6600 for a good price from aria
http://www.aria.co.uk/Products/Componen ... ctId=41216.
memory wise your board will only hold 2gig so i would just get another 1 gig stick of the same memory stick you have now.also check your psu,intel dual cores need at least a 550w so to be safe i would go for a 600w to 700w.