Yep, I tried the dlight action with a cube.mdl, set its _range (skill4)
pretty high and put it almost on top of the normal mapped model, then changed
"faked dynamics" to false, and all I can get is the diffuse lighting from the
material. I tried for hours.

Maybe there is something strange with either model? (the NM looks fantastic
with faked dynamics on though).

In any case, if you could find time to insert a multiplier for the ambient
(shadowing) and one for the power of the lighting, so the two could be adjusted
(contrast?) for different environments, that would be super useful!