I have that exact same system (with a Gigabyte nVidia nForce motherboard). The game runs alright but I have found I still don't want to run the game in full detail (remember, the designers purposely added graphics detail and capabilities that many current systems still can't reach).
I run the game at 1280x1024, Very High Performance - with some settings bumped up. Was running at Balanced at 1024x768 but decided I'd prefer the bigger screen res vs. a few fancy extra details. I still notice what appears to be FPS drop when around a bunch of people in a city zone (however, I believe technically it's not a video performance issue).
The game is, by far, better looking than EQ1 (don't know about the newest EQ1 zones which I didn't venture into).
I will say that I am encountering an issue from time-to-time when doing tradeskills. But I don't know what the problem is, exactly, and so far, it's only when at a tradeskill workstation.