Time Machine does not recognize external journaled partition
Machine: iMac 27" 5K, 4GHz i7, 8GB RAM, 512GB Flash, OSX 10.11.3
I just bought a new Seagate 4TB HDD and used Disk Utility to setup two partitions: 1.) 1TB OS X Extended (Journaled) - for backups; 2.) 3TB exFat - for file storage. Time machine does not recognize the journaled partition. When I try to start TM I get the following message: "Can't connect to a current Time Machine backup disk".
I've tried Erasing each partition to no avail. I can't try re-partitioning because the icon is greyed out.
What to do?
iPhone 6 Plus, iOS 8.4.1, Touch screen problem