So I've had this game a few days now, and still love it, sure it doesn't always run great and there are bugs but hey.
Anyway more to the point.
My System is not the best Q6600, 2Gb ram, 8800GT (512mb).
I'm running the game at quite a high resolution (1200x1024) and I have found that if you turn the draw distance up the game actually runs better. I think I'm around 5000 or so meters in the settings. I'll check when I get home from work.
I hope this helps someone. Also everything else is on high except AA, with some settings on very high.