After installing all the mods I started a new game and the frames per second was so bad. I was lagging so badly that the gameplay was unbearable. So after I uninstalled the game + mods and created a new game w/out the mods, the game doesn't lag anymore but looks really bad since I'm playing on a 22 inch monitor. I know the problem rests within the widescreen-fix mod but I don't know what to do from there. I tried installing the mod with different resolutions and they all end up with lots of lag still. Anyone got a clue on what's going on? I'm playing on Winodws 8 64-bit btw and my graphics card is Radeon HD 7870 with latest drivers installed.

Did you install the new version from GOG which includes the ddrawfix? I had problems with lag as well (installed from a file downloaded when GOG re-released the game) but downloaded the new version and it works flawlessly.

Yes I did. And just to make sure, I installed ddrawfix and that made my game crash everytime i load my save (doesn't hurt to experiment). Soo I uninstalled everything and now I am back to having the unplayable game + mods.

You are doing something wrong, somewhere--but read through this thread with particular attention to my post at the bottom and see if enlightenment shall finally wrap you in its shroud...;)