Hello and welcome to the forum.
I see in your setup.ini that you may have not recompiled the shaders.
forceloadtestgameshaders=0 <---------
pbroverride=0
Also by looking at these two statements, I am wondering if you are using DNS textures or PBR textures?
Please let me know, so we can get this fixed for you.
Intel(R) Core(TM)2 Quad CPU Q6600 @ 2.40GHz, 2400 Mhz, 4 Core(s), 4 Logical Processor(s), 8gb RAM, Nvidia gtx660, Windows 7 Pro 64bit, Screen resolution 1680 x 1050.