firstly, try updating to the latest runtime (4.5)
secondly, make sure you arent blocking logicalspear.forceprojectx.com and forceprojectx.com. I load some runtime code from those addresses.

Created a new administrator account, ran KBH as that user - same result.
Any way to enable more verbose logging or something?
 

Yes, it runs XP as i said in my first post. This and all my systems run XP.
KBH works fine at home, just not here on this netbook.
As XP isn't going away any time soon (despite what some people say), could you please try to target .NET 4 while building?

Anyways, since it currently works for me on 2 XP systems and doesn't work on a third one, it must be something else causing this.
Those addresses you mentioned, are they accessed on startup, or at a later point in time? Because KBH starts fine, it only crashes when i click the "send packet" button...
logicalspear.forceprojectx.com and forceprojectx.com open in IE, so they shouldn't be blocked anyways.

I'll be leaving the place in a bit, but if you have more suggestions i'll sure try them on my next visit.

[EDIT]
I just noticed something - this system is XP SP2 (2600.xpsp_sp2_rtm.040803-2158) while my systems at home are both XP SP3 (qfe builds). Could it be something missing in SP2 causing this?

 NDP40-KB2468871-v2-x86 NDP40-KB2487367-x86 NDP40-KB2533523-x86 NDP40-KB2600217-x86 NDP40-KB2600211-x86-x64 NDP40-KB2604121-x86 NDP40-KB2729449-x86 NDP40-KB2737019-x86 NDP40-KB2736428-x86 NDP40-KB2742595-x86 NDP40-KB2789642-x86 NDP40-KB2835393-x86 NDP40-KB2840628-v2-x86 NDP40-KB2861188-x86 NDP40-KB2858302-v2-x86

Yay! im glad you  finally got it working! Thank you for the information too. Hopefully it will help others.

Try the Autopatcher from my previous post?
btw. the usual value of that registry key is C:\WINDOWS\Microsoft.NET\Framework\


OK, small update on my issue with that netbook - KBH needs a functional Internet Exploder with Flash to work properly.
I first tried just the .NET4 updates, but KBH was still crashing when trying to send a packet.
Then i installed SP3, but KBH crashed again.
After monkeying around for a bit, i found out IE was removed on this netbook - the core was there though, so you can type an URL in Windows exploder and have it openned.
So, i installed IE8, reinstalled Flash for it, and from there on KBH started working :P

Obviously, i can't try this on the netbook without SP3 anymore, and installing the updates in Virtualbox takes ages, so if anyone still has a SP2 install - try first doing the above updates without SP3 and report the results here.

Error HRESULT E_FAIL has been returned from a call to a COM component

is encountered when the advertisement swf does not load. that swf contains special code that allows the .exe to interact with the kongregate api. If that swf does not load, then the .exe cannot send data to kongregate. 

Thanks for this tool.  I can confirm it works as promised.