The XML Map and XML libname engine is the second part of the project. I almost have this covered, the link you provided is a great help and confirms I am on the right track.
The major issue I have is the XML data is being stored into a SQL database which I access through SAS via an ODBC Connection with the XML being quite complex + more than 1024bytes + multiple XML with different mappings.
My temporary solution so far is to use the SQL pass through to call a stored procedure (with SAS macro to pass through variables needed).
The stored procedure then uses BCP to save the XML files on my network.
Then it moves on the to the second stage that you have pointed out.
I am still in the testing stage and will post the solution when i am happy with the results.