I am running on Server 2003 R2 in a Virtual Machine under HyperV.
I installed the redistributable with ATL using the link supplied and checked that the files indeed exist.
For Microsoft Visual C++ 2005 SP1 Redistributable Package (x86):
    * x86_Microsoft.VC80.CRT_[...]_8.0.50727.762_[…];
But I am still getting the errors discussed in this thread.
Would I need to register the GraphicsMill dlls first possibly.?
Server Error in '/' Application.
This application has failed to start because the application configuration is incorrect. Reinstalling the application may fix this problem. (Exception from HRESULT: 0x800736B1)
Description: An unhandled exception occurred during the execution of the current web request. Please review the stack trace for more information about the error and where it originated in the code.
Exception Details: System.Runtime.InteropServices.COMException: This application has failed to start because the application configuration is incorrect. Reinstalling the application may fix this problem. (Exception from HRESULT: 0x800736B1)
Source Error:
An unhandled exception was generated during the execution of the current web request. Information regarding the origin and location of the exception can be identified using the exception stack trace below.
Stack Trace:
[COMException (0x800736b1): This application has failed to start because the application configuration is incorrect. Reinstalling the application may fix this problem. (Exception from HRESULT: 0x800736B1)]
[FileLoadException: Could not load file or assembly 'Aurigma.GraphicsMill, Version=5.5.2.0, Culture=neutral, PublicKeyToken=af7154c50c505858' or one of its dependencies. This application has failed to start because the application configuration is incorrect. Reinstalling the application may fix this problem. (Exception from HRESULT: 0x800736B1)]
   System.Reflection.Assembly._nLoad(AssemblyName fileName, String codeBase, Evidence assemblySecurity, Assembly locationHint, StackCrawlMark& stackMark, Boolean throwOnFileNotFound, Boolean forIntrospection) +0
   System.Reflection.Assembly.nLoad(AssemblyName fileName, String codeBase, Evidence assemblySecurity, Assembly locationHint, StackCrawlMark& stackMark, Boolean throwOnFileNotFound, Boolean forIntrospection) +43
   System.Reflection.Assembly.InternalLoad(AssemblyName assemblyRef, Evidence assemblySecurity, StackCrawlMark& stackMark, Boolean forIntrospection) +127
   System.Reflection.Assembly.InternalLoad(String assemblyString, Evidence assemblySecurity, StackCrawlMark& stackMark, Boolean forIntrospection) +142
   System.Reflection.Assembly.Load(String assemblyString) +28
   System.Web.Configuration.CompilationSection.LoadAssemblyHelper(String assemblyName, Boolean starDirective) +46
[ConfigurationErrorsException: Could not load file or assembly 'Aurigma.GraphicsMill, Version=5.5.2.0, Culture=neutral, PublicKeyToken=af7154c50c505858' or one of its dependencies. This application has failed to start because the application configuration is incorrect. Reinstalling the application may fix this problem. (Exception from HRESULT: 0x800736B1)]
   System.Web.Configuration.CompilationSection.LoadAssemblyHelper(String assemblyName, Boolean starDirective) +613
   System.Web.Configuration.CompilationSection.LoadAllAssembliesFromAppDomainBinDirectory() +203
   System.Web.Configuration.CompilationSection.LoadAssembly(AssemblyInfo ai) +105
   System.Web.Compilation.BuildManager.GetReferencedAssemblies(CompilationSection compConfig) +178
   System.Web.Compilation.WebDirectoryBatchCompiler..ctor(VirtualDirectory vdir) +163
   System.Web.Compilation.BuildManager.BatchCompileWebDirectoryInternal(VirtualDirectory vdir, Boolean ignoreErrors) +53
   System.Web.Compilation.BuildManager.BatchCompileWebDirectory(VirtualDirectory vdir, VirtualPath virtualDir, Boolean ignoreErrors) +175
   System.Web.Compilation.BuildManager.CompileWebFile(VirtualPath virtualPath) +83
   System.Web.Compilation.BuildManager.GetVPathBuildResultInternal(VirtualPath virtualPath, Boolean noBuild, Boolean allowCrossApp, Boolean allowBuildInPrecompile) +261
   System.Web.Compilation.BuildManager.GetVPathBuildResultWithNoAssert(HttpContext context, VirtualPath virtualPath, Boolean noBuild, Boolean allowCrossApp, Boolean allowBuildInPrecompile) +101
   System.Web.Compilation.BuildManager.GetVirtualPathObjectFactory(VirtualPath virtualPath, HttpContext context, Boolean allowCrossApp, Boolean noAssert) +126
   System.Web.Compilation.BuildManager.CreateInstanceFromVirtualPath(VirtualPath virtualPath, Type requiredBaseType, HttpContext context, Boolean allowCrossApp, Boolean noAssert) +62
   System.Web.UI.PageHandlerFactory.GetHandlerHelper(HttpContext context, String requestType, VirtualPath virtualPath, String physicalPath) +33
   System.Web.UI.PageHandlerFactory.System.Web.IHttpHandlerFactory2.GetHandler(HttpContext context, String requestType, VirtualPath virtualPath, String physicalPath) +40
   System.Web.HttpApplication.MapHttpHandler(HttpContext context, String requestType, VirtualPath path, String pathTranslated, Boolean useAppConfig) +160
   System.Web.MapHandlerExecutionStep.System.Web.HttpApplication.IExecutionStep.Execute() +93