You don't want to produce this output:
<?xml version="1.0" encoding="UTF-8"?>
<Namespace Id="Red" Name="Red">
<Type xsi:type="catalogue:Model" Id="Red.Model1" Name="Model1">
</Type>
</Namespace>
because it isn't namespace-well-formed. It uses two namespace prefixes "xsi" and "catalogue" that have not been declared. What is the namespace URI corresponding to prefix "catalogue"? So I'm not sure whether your problem is that you are trying to produce invalid output, or that you don't know how to generate the required namespace declarations. It would help to see your code, and the output that it is producing, compared with the desired output.
(I may be confused partly because you have an element in the output called "Namespace", which isn't an XML namespace.)
Michael Kay
http://www.saxonica.com/
Author, XSLT 2.0 and XPath 2.0 Programmer's Reference