Wow.it makes SUCH a difference! :Q It does create a bit of a 'pause' when running through an area as the textures for the next area load, but it's really just about a half second pause.not a big deal.
I'm happy to report that Qarl's Texture Pack 3 and it's patch (v1.3) work GREAT on my stock (un-modded but patched to v) Oblivion install!