It can be DirectX8a not installed, or the grfx board you have does not support the texture format you are trying to use. A standard one would be R5G5B5A1(if it does not work after this all, well, kick your PC for me
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PS.: Oh, yeah. You can always try to update your drivers. Who knows, might work.
PS.: Oh, yeah. You can always try to update your drivers. Who knows, might work.