So I thought that was the problem but I was wrong. I have removed both installs of Oblivion and mod organizer. Reinstalled Oblivion to the steam directory and the mod organizer to my desk top. I installed OBSE according to the instructions in the read me and still MO does not notice that it is installed and as such still does not provide the Script Extender option. Edit : I now get the script extender option but when I run Oblivion OBSE does not kick in and I get a CTD as the main menu loads. (FYI, I have used LOOT, and loaded everything in TES4Edit with out incident.)