I'm not too familiar with the Steam version of KotOR, but the basics should still apply:
1.) The path to your Override folder should be ~\Lucas Arts\SWKOTOR\Override
2.) Make sure you put the files directly in the override; don't try to be organized and make separate folders.
3.) The texture files are in .tga format.
Last edited by CptPriceless; 08-02-2013 at 12:21 AM.