I've released v3 Beta. Why "beta"? Well, I enabled installation on BGEE, but I don't have the game to test it all. From what I've read so far, everything *should* work much in the same way. Please, check it out if you want and report any issues here.
As for the major change in v3, already mentioned a couple of days ago, I spent way too much time extracting and rebuilding the original BG1 sound files. A lot of them were just horrible quality. I believe I managed to fix 97.7% of the sounds which had nasty distortion/clipping.
You can probably play the game with the sound volume slider all the way up, but I still don't recommend it. Anywhere 70-80 is fine. This, of course, may depend on your system, but if it doesn't sound right, you'll just have to adjust volume settings in the game options and/or your system.
Oh, and I suggest you disable the "Environmental Audio" setting. Some of you may have noticed that it's bugged to the point where both stereo and mono channels are heard only in one speaker, depending on the direction, while some sounds are way too quiet and some blaring out loud. Really annoying experience. Yes, you lose some of the hardware environmental effects, but it's not like they change that much in terms of atmosphere. In exchange, you get better sounding game in general, with less annoying positional audio. I've read that this issue is fixed in BGEE, but I can't confirm it.
Edited by Tash, 13 June 2014 - 01:44 AM.