Lip Synch
This tutorial is a little information about how to 'Lip Synchronize'. On the first place I will tell you what Lyp Synch is.
Lyp synch is making the lips move whilst the NPC is talking. On the construction set version 1.2.404 the 'Generate lip' is broken. BUT, on version 1.0.303 the generate lip button is working. But now we have a problem: If we install version 1.0.303, 1.2.404 is uninstalled. So, install 1.0.303, and change TESConstructionSet.exe into something like TESConstructionSet1.exe. Now you can simply use the old one to generate the lip files.
Now to get them into 1.2.404 do this: edit any line of dialog, copy the filename field, rename your WAV file to it and put in the appropriate folder and generate the LIP file, then rename the LIP file to what you need and put it in the right path for your plug-in (close and reopen the panel with the button on it after moving the file so that it will find it.) (These last lines are quoted of Kivan at the TES forums.) Keep in mind: You must use this: For the WAV file: 44100Hz, 64kb rate, mono. For the MP3 file: 44100Hz, 64kb rate, mono.
You may find this helpful. Use this instead of Oblivion.esm