I've just been trying the mod, which is excellent (and I'm eager for the Dynamic Movement to be updated for diplomacy to really make the most of the improved grpahics!) Anyway, I have encountered a potential problem. After about an hour or so, the graphics went a bit haywire; notably the buttons were not showing correctly; in fact a lot of the UI seemed to be showing the wrong textures or something. I managed to guesswork my way out and start the game again, only to have it happen (not quite so seriously) about ten minutes later. (Meaning I actually had a chance to save this time!)
I'm running on XP SP3, with an Nvidia GeForce 9800 GT (drivers were reasonably recently updated, around the end of January, I think, approimatly when Mass Effect 2 came out).
I'm mentioning this mainly as feedback on a potential bug or glitch. (You'll have to forgive me if this is a known problem with Diplomacy proper, rather than the mod, but my guess is it's more likely to be something to do with the mod being graphically related.)