I don't know which kernel will be booted or if the 32 bit EFI will make anything not work correctly, but this seems to indicate the original MacPro1,1 and 2,1 should be supported to run Lion.
http://www.apple.com/macosx/how-to-buy/
"Step 1: Make sure your Mac can run Lion.
Your Mac must have an Intel Core 2 Duo, Core i3, Core i5, Core i7, or Xeon processor to run Lion. Find out if your current Mac has one of these processors by clicking the Apple icon at the top left of your screen, then choosing About This Mac. "
http://www.apple.com/macosx/how-to-buy/
"Step 1: Make sure your Mac can run Lion.
Your Mac must have an Intel Core 2 Duo, Core i3, Core i5, Core i7, or Xeon processor to run Lion. Find out if your current Mac has one of these processors by clicking the Apple icon at the top left of your screen, then choosing About This Mac. "