I did that but no dice.
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The most likely explanation is that the extension wasn't zipped back up properly. Make sure that you zip up the extension from inside the folder (select all of the contents, right click and add to zip). Don't zip up the actual folder itself.
You might also try upping the decal numbers. When I tinkered with these, there were some numbers used already by I assume some of the built in decal. Once I got it going I started numbering at 15 I think. I don't think the numbers do not have to be sequential across all possible decals but they do have to be unique. When renumbering be sure to change all lines with the changed number.
Good thought but I removed all but one reference to the image and change the value to 40 and it did not work.
<?xml version="1.0" encoding="UTF-8"?>
<root version="3.0" logo="logo.png">
<announcement text="Custom Desktop Decal by Dragonlance" font="emotefont" />
<properties>
<name>Dragonlance Custom Desktop Decal</name>
<version>1.1</version>
<author>Jeff</author>
<description>Adds Dragonlance decals</description>
<loadorder>99</loadorder>
</properties>
<base>
<script name="DragonlanceDecal">
function onInit()
OptionsManager.addOptionValue("DDCL", "option_val_DDCL_custom40", "desktopdecal_custom40", true);
end
</script>
<!-- Custom theme option strings -->
<string name="option_val_DDCL_custom40">DL1</string>
<!-- Custom theme textures -->
<icon name="desktopdecal_custom40" file="graphics/decals/DL1.png" />
</base>
</root>
So, I just d/l it and added a new decal after the existing ones. If I have no other decals loaded apart from this extension then my addition does not show up. If, however I add in another decal extension (in this case HotDQ) my graphic shows up but with the HotDQ name rather than the one I gave it. So you could tyr adding another decal ext and see if that helps. Not ideal I don't think and I can't explain why that should happen.
My signature has another decal extension (labelled 5E Quick Reference) if you want another example of code to look at.