I tried this with the same results,

Code:
Option Strict Off
Public Class Form1

    Private Sub Button1_Click(sender As Object, e As EventArgs) Handles Button1.Click
        Dim xl As Object
        Dim xlWorkBooks As Object
        Dim xlWorkBook As Object
        Dim xlWorksheet As Object
        xl = CreateObject("Excel.Application")

        xl.DisplayAlerts = False
        xl.Visible = True
        xlWorkBooks = xl.Workbooks
        '
        'The server threw an exception. (Exception from HRESULT: 0x80010105 (RPC_E_SERVERFAULT))
        xlWorkBook = xl.Workbooks.Add() '  same error here
        xlWorksheet = xl.Sheets(1)
        xlWorksheet.Activate()

        xlWorksheet.Cells(1, 2).Value = "XX"

    End Sub
End Class
In my original post and this one Excel starts and the workbook is created.
I tried repairing Office also.