My HDD needs to be allocated but the option will not appear

I got a HDD its a 2TB and it needs to be allocated. in the admin tools it shows the drive in all of its goodness, but the only option on the unallocated space is "new simple volume" is this what i want to click?
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More about hdd allocated option
  1. Yes. Create a volume, it will then ask how large, and it will let you format it.
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