Hey,
The default fglrx driver supplied as a part of Restricted Drivers
repository in Ubuntu 7.04 is version 8.34.8 (Very old). The new OpenGL
codebase based fglrx (8.41.7) driver supports your card (X1250). Download
this driver and build the kernel module using Module assistant. All will
work fine except for TV/out, some slight video tearing when using Xv, and no
AIGLX (wait for 8.42 for possible support).
Regards,
Karthik Ramgopal
BITS Pilani