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Step 2 - Edit your Player.ini
Open your Player.ini file with Notepad. This file is located at...
"C:\Papyrus\NASCAR Racing 2003 Season\players\YourName"
and edit the following lines under the header [Graphic Options]
enable_CarMegaShader=1 ; set to 1 to enable advanced shaders where applicable
enable_ShadowVolumes=1 ; set to 1 to enable shadow volumes
texture_quality=100 ; texture quality [0..100], -1 for auto
Most of the remaining lines will be changed by your input in the In-game menu as you set them to your desired level.
P.S. Changing the line "on_car_shadow_method=" to a 1 will provide more realistic shadows at the cost of ALOT of frames. For some reason changing anything in the in-game settings resets this line so I suggest doing this part last.
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Step 3 - Installing Reshade
Reshade is a post-process effect injector. This basically means once your game draws a frame to the screen this program applies filters to the image to your desire. The results are basically real-time. Here is a look at the before and after the installation.
The installation for this is a longer process than most things on this site but it is definitely worth looking in to... You can find the guide written by myself here.
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Congratulations!
The game is now looking almost like it wasn't made in 2003...almost!