OK, so I've come to terms with the limitations of the Oblivion engine. However, I'm still curious about making the landscape a little more immersive. Does anyone know of any mods or tools that generate more detailed LOD meshes for the landscape? I found the Detailed Terrain shader package, which have improved appearance considerably, but the distant terrain popping out is still an immersion breaker. I am basically looking for something for landscape what RAEVWD does for buildings, and maybe a higher resolution heightmap (can Oblivion do that?).

ANYTHING along those lines would be helpful.

I believe the Construction Set is the only tool available which can produce landscape LOD meshes, other than using a 3D mesh program and creating it by hand (which would be madness).

CS is it. Though if you were feeling masochistic you could hand edit the results after