put the psx cd in your cd-rw drive, start cdrwin, click the third icon on top, it has a cd with an arrow pointing to a white thing (harddrive), this will make a copy of the game on to your computer.
set error recovery to "ignore" & read retry recount to "10"

make sure the cd reader is selected to be the cdrw (you can select it at the top on that window)

it will say "image file name" below that, click the box to the right of that, that has "..."

select where you want to save the cdimage to on your harddrive, name the cd image file (for example "thps2". then click save or okay, or whatever it is. then click start & it will begin reading the disc. after that is completed. close the window, it should take you back to the original cdrwin load up prog.. insert a good quality cd-r (the music one's work well, even tho they say 'for audio use only', horseshit) ..click the first one, has a laser burning a cd.. click "load cue sheet" there should be a file named "thps2", the cue sheet file.. that will load up the cd image file. click "start recording" and the cd image file from your computer will be burned to the cd-r..

granted that your mod chip is installed correctly, the game should work.. good luck