Leave the T-stat intact.......you could gut it or remove it, but for street use, I'd leave it be.
Mount the temp sensor in the back of the water pump where your first post's picture shows. The Haltech's sensor can be drilled and tapped into that spot, or as Higgi says, there are sensor's available with the same threads as the stock sensor. Some people say you can even use the stock sensor.....but when I did it I saw no reason not to use the new one they supply as opposed to a 20y/o sensor.
I found that spot to be pretty even with the factory location of the temp gauge sender (beside the oil press. sensor) so I think it works great. You could really mount it anywhere, but it works fine there.
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