I forgot to mention quite an important point! As i'm not so technically literate, i didn't mention that i'm actually running windows on Parallels 7. The previous instances of orbiter i used in bootcamp (i.e. not a virtual machine).
I have since given up with ever having orbiter fully functional (including my D3D9 dilemma)! I appreciate all your help, but after doing a bit of reading, i don't think Parallels 7 utilises my GPU (?) well enough to have a fully functional orbiter. Do you concur?! Because my graphics system is AMD Radeon HD 6490M & Intel HD Graphics 3000. Not sure if that info is useful...