SureAI

I've seen a few screen shots of this mod and they looked awesome, much better than vanilla Oblivion graphics wise.

I was wondering if I had to use any oblivion graphics mods like Natural Environments or something to get this effect, or if Nehrim already comes made with graphical improvements. Are graphical mods compatible with Nehrim at all?

you don't need any other mods for nehrim. as far as i know graphic mods should be compatible with a little tinkering; however i don't use them.