From EU site:
"Low Settings
If your system falls below the Medium Settings requirement you may still be able to participate in Entropia Universe, but your visual experience will be hampered. If you use Medium Settings on a system below Medium Settings requirements, you may suffer from low frame rate. If you use Low Settings, there may be artifacts such as white texture-less avatars, no ground vegetation, short draw distance and no shadows.
Please note that support is not given on technical issues deriving from a computer that only handles the Low Settings."
My expirience was the same, when I played on low using 9600GT. Setting low on ATI does the same.
Drivers are up to date?