Tested and it seemed to work fine
I had the pi playing HD movies from a 2.5" hard drive, no wifi, but ill try that soon.
@ski522 Its a shame I didn't see your post sooner, for some reason I completely forgot to check if the drive had a current draw listed on it. I checked after the test and its rated at 0.5A. My pi works fine with the wi-fi when I use a 1A power supply so even if its maxing that supply out (Doubtful) then that still leaves me with a spare 500mA from the HDD supply so thats good
That just leaves me to find out if the wi-fi to get signal and if there will be a heat issue in such a tight enclosed space.