Failed to create Direct3D device

When i try to open this program called Novelty it says "Failed to create Direct3D device"
and "No image handler for type 17 defined".
And then it opens a note and the one written says:
Novelty version: 0.8.9
Starting Scalari graphics engine
Fullscreen: No
Loading Direct3D
Detecting DirectX capabilities
Graphic adapter: Intel(R) 82852/82855 GM/GME Graphics Controller
Driver: ialmrnt5.dll (6.13.10.3514)
Display: 1280x800 [FMT=0x000017]
Hardware acceleration test [ADPFMT=0x000017, BBFMT=0x000017]: Success!
Depth stencil format: 0x00004B
Hardware vertex processing: No
Pure device: No
Presentation interval: 0x000001
Pow2 restriction: Yes
Backbuffer size: 2048x1024
Maximum backbuffer size: 2048x2048
Supports dynamic textures: No
Supports masks: Yes
[Error] Critical features not supported by the hardware
[Error] Failed to create Direct3D device

What should i do? Please Help.
 
It sounds like the onboard graphics is insufficient to run the application. You could try installing the latest graphics driver available but it might not help.
 
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