Dunno what's wrong, i've tried the very same version (Peter Games) on work PC - C2D E8200, 2Gb RAM, Win7 64, but different card - an old GTS 250. Looks like the new video card makes the difference (or its drivers).
Where is your game installed to? Did you try to run it as Administrator (right click on the executable or shortcut and choose 'Run as Administrator'). In addition, uncheck 'High landscape detail' and 'High sky detail' in game settings.
Install Directx9 (having 10 or 11 won't suffice, they use different libraries) using
this link if you haven't done so.