Saving .DDS with alpha

Hi Guys
I wonder if someone could help me.

I'm trying to make a wall with transparent bits to it aswell as solid. In BTB the wall looks fine, but in game (GTL) there is a black line on the edge which I can't get rid of.

I've tried saving the .dds in both DXT3 and DXT5 with all Mipmaps using the NVIDEA plugin in Adobe CS3, but there are settings that I don't understand (like Mipmap filtering).

GRAB.jpg
I guess the saving of the .dds is causing the problem.

Any ideas - help would be appreciated.
 
With Gimp, it's either 'no mips' or 'some mips', which are made automatically.

I had a feeling that I might have nvdxt, so I searched my computer, and found it. Ages ago I downloaded a program called DDS Converter 2, which turns out to be a graphical interface for that program.
 

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