I knew the drive wasn't faulty as it works perfectly in my gaming PC (geez, I've had my server, gaming PC & HTPC in bits to get this thing working!).
I sent an e-mail to Shuttle Support & they in turn contacted nVidia (Shuttle motherboard chipset makers). It turns out that there is a bug in the BIOS with regards to running the SATA in IDE mode in that, well, it doesn't work with optical drives!
Hopefully this will be fixed with a BIOS update.
Anyway, I switched SATA to AHCI in the BIOS, but when I tried to boot to Vista it just crashed out on me every time it tried to load, giving a BSOD that disappeared so quickly I couldn't read the error code.
So I did a bit of searching on Google for AHCI & what exactly it does & the problems it can cause & found a Microsoft Knowledge Base article on Vista not booting after SATA changed to AHCI mode.
It seems Vista needs to know which controller to boot from, so I had to change back to SATA IDE mode, change a setting in the registry so that Vista would load a SATA AHCI driver, then reboot.
All is working perfectly now.
Spider-Man Trilogy on Blu Ray look absolutely awesome in 720p on my Panasonic TH-37PX70!
Seems so simple now, but it was one hell of a headache when I couldn't figure out what was wrong!
P.S. Thanks for your input in this thread bradavon.