BSOD whenever I play D2D King Kong game

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Hi guys, I'm in real need of help right now... I just purchased King Kong Gamers Edition off Direct2Drive and after only a few minutes I start getting a BSOD. Now, don't mix the Gamers Edition King Kong with the Standard Edition (original Xbox graphics - only available on CD-Rom). I own both versions, but I decided to purchase the next-gen (X360 graphics) version on Direct2Drive (only available thru that service) since my PC far exceeds the requirements of it... and the Standard version looks real dated and runs at over 100 fps. Right as I'm dropped into an in-game cut-scene as I am being rowed ashore from my ship, my game happens to stutter either when the NPCs begin speaking (not while they are speaking, only right as they start) or when I make a 360 degree turn and look at something I haven't seen before. For any of you who have actually played this game, I've only gotten as far as the slope leading down to the large wooden gate that needs to be raised with the aid of 2 characters (the equivalent of about 2-3 minutes of play).

When my PC is on the brink of a BSOD, my PC first freezes, sound still running as if nothing happened, sound then freezes, picture goes black, then a second later, the dreaded blue screen appears! The screen stays, it does not flash and then restart as some BSODs have been known to do. It starts to dump physical memory and shows me that my issue is "Ati3duag.dll". Now, I know this means that my BSOD is being caused by my drivers (I own an ATI HD 3870, btw)... In no other instance, whether in a game or just doing various tasks on my PC, have I received a blue screen of death. I have the latest drivers for my card, so I'm not really sure as to what to do now... This game was supposed to be a Christmas present and I was making sure it would work fine... But obviously, it does not... Help?
 
It's most likely a known problem with the ATI drivers. Attach a few minidumps from c:\windows\minidump.
 
First I'd like to say thanks for coming in here to help me out :).
Problem is, even though I have experienced 3 BSODs so far from this game, there are no minidump files in the located folder... Something that may help is that I noticed late last night and today that before I receive a blue screen, a window will appear from my ATi Catalyst Control Center saying that the VPU Recover program has been activated. This has only ever appeared when I have in the past installed new drivers which RivaTuner does not recognize and therefore my fixed fan speed of 60-70% is replaced with an auto fan speed which makes the fan run at only 28%. Well, ever since I got the newest drivers, I have already set the fan speed at 70% and it always runs at that speed. Is it possible that the game is somehow resetting the fan speed and as a result, making my GPU overheat? Also, sometimes the game will not let me exit even when the VPU Recover window appears. When I am stuck in the game while it is frozen for a certain amount of time, I will suddenly be punished with a BSOD. Although, if I somehow get lucky and terminate the game from running any longer, the VPU Recover will perform it's task and my PC will be fine and back at my desktop. Anything you can deduce from this?
 
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