Blender version 2.49b with some associated support files is the one that works for Morrowind ,there are different versions of these files most of which are incompatible but the ones included in the http://dl.dropbox.com/u/35424753/Blender%20For%20Morrowind%20All%20Files.7z download, should work ok on both 32 bit and 64 bit PC's and you need to install all 4 component parts. You can use newer versions of blender if you want to try some of the new modelling features but will need 2.49b for converting meshes to and from the Morrowind Nif format.
http://en.wikibooks.org/wiki/Blender_3D:_Noob_to_Pro/Beginning_Tips is the official manual but i would recommend video tutorials as a better way to learn.
The best video tutorials i have found for absolute beginners are the ones by http://www.youtube.com/playlist?list=PLDE37E771345BCC6F which introduce Blenders basic features slowly and in simple English and are very easy to follow.
A more comprehensive range of Blender tutorials are those by http://www.youtube.com/results?search_query=ira+krakow&oq=ira+krakow&gs_l=youtube.12...0.0.0.9070.0.0.0.0.0.0.0.0..0.0...0.0...1ac. but i would recommend learning the basics and waiting until you are familiar with the Interface before trying these else you will be doing a lot of pausing and rewinding whilst trying to follow.
Finally for now, a super tutorial by http://www.youtube.com/watch?v=k4pr3J45ESo which shows you how to attach a texture to a mesh the tutorial is actually for Oblivion but still relevant for us as the steps are identical for Morrowind.