Try these settings, I use them with an ATI card in a laptop & get good results
Just copy & paste to conf file.
Thanks goes to Hades who made this knowledge avalible at their website.
[Render_DirectX]
TexQual=3
TexMipFilter=2
TexCompress=0
TexFlags.UseDither=1
TexFlags.UseAlpha=0
TexFlags.UseIndex=0
TexFlags.PolygonStipple=0
TexFlags.UseClampedSprites=0
TexFlags.DrawLandByTriangles=1
TexFlags.UseVertexArrays=1
TexFlags.DisableAPIExtensions=0
TexFlags.ARBMultitextureExt=1
TexFlags.TexEnvCombineExt=1
TexFlags.SecondaryColorExt=1
TexFlags.VertexArrayExt=0
TexFlags.ClipHintExt=0
TexFlags.UsePaletteExt=0
TexFlags.TexAnisotropicExt=0
TexFlags.TexCompressARBExt=0
TexFlags.TexEnvCombine4NV=0
TexFlags.TexEnvCombineDot3=0
TexFlags.DepthClampNV=0
TexFlags.SeparateSpecular=0
TexFlags.TextureShaderNV=0
HardwareShaders=0
Shadows=2
Specular=2
SpecularLight=2
DiffuseLight=2
DynamicalLights=1
MeshDetail=2
VisibilityDistance=3
Sky=2
Forest=2
LandShading=3
LandDetails=2
LandGeom=2
TexLarge=1
TexLandQual=3
TexLandLarge=1
VideoSetupId=7
ForceShaders1x=0
PolygonOffsetFactor=-0.0625
PolygonOffsetUnits=-1.0
[Render_OpenGL]
TexQual=3
TexMipFilter=3
TexCompress=0
TexFlags.UseDither=1
TexFlags.UseAlpha=0
TexFlags.UseIndex=0
TexFlags.PolygonStipple=1
TexFlags.UseClampedSprites=0
TexFlags.DrawLandByTriangles=1
TexFlags.UseVertexArrays=1
TexFlags.DisableAPIExtensions=0
TexFlags.ARBMultitextureExt=1
TexFlags.TexEnvCombineExt=1
TexFlags.SecondaryColorExt=1
TexFlags.VertexArrayExt=1
TexFlags.ClipHintExt=0
TexFlags.UsePaletteExt=0
TexFlags.TexAnisotropicExt=1
TexFlags.TexCompressARBExt=1
TexFlags.TexEnvCombine4NV=0
TexFlags.TexEnvCombineDot3=1
TexFlags.DepthClampNV=0
TexFlags.SeparateSpecular=1
TexFlags.TextureShaderNV=0
HardwareShaders=1
Shadows=2
Specular=2
SpecularLight=2
DiffuseLight=2
DynamicalLights=1
MeshDetail=2
VisibilityDistance=3
Sky=2
Forest=2
LandShading=3
LandDetails=2
LandGeom=2
TexLarge=1
TexLandQual=3
TexLandLarge=1
VideoSetupId=17
Water=0
Effects=1
ForceShaders1x=0
PolygonOffsetFactor=-0.15
PolygonOffsetUnits=-3.0
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