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Just a follow up from a Steam thread (Even further flame LODs for lights) where fakenina says that the lighting distance should be improved with the new version.

There are a couple of areas in the jail where it definitely hasn't improved though.

First one is where the lighting changes at an incredibly short range (literally a footstep):
The torch in the pirate cell also still visibly kicks in when viewed from outside (the same as 1.49).