EDA Library Compiler Fails MSim 10

Hi,

I'm trying to use the "EDA Simulation Library Compiler" in Quartus 13.1 with ModelSIM PE 10.3c (USB dongle), but it fails with the following error..

Info: Unable to checkout a license. Vsim is closing.

Error: ** Fatal: Invalid license environment. Application closing.

Info: Unable to check out a license. Run the ModelSim Licensing Wizard from the Start->Programs menu to diagnose the problem.

Error: Compilation was NOT successful. 1 errors, 0 warnings

The license for ModelSIM is correct, and I can invoke it, and perform manual library compiles, so I know that is fine.

Any suggestions ??

Rob