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This mod pushes first person skeleton back to accommodate for high fov.
There are 3 versions available. Skeleton for 90 FOV was pushed back while skeletons for 100 and 110 were also pushed a tiny bit to the right due to bad-looking bow animations which causes a negligible shift in aiming with aforementioned bows and magic. Also for 100 and 110 I could not get rid of all the clipping (you will see a little bit of shoulder while performing stationary power attack with one-handed weapons) and hands look quite warped..
Overall, I suggest to sticking with 90 FOV unless you get really get motion sick from low FOVs.
Installation
You can use your mod manager of choice or just drop the Data folder from the archive into your Oblivion folder. There is just a single skeleton.nif file that should not override anything.
Go to C:\Users\\Documents\My Games\Oblivion and open Oblivion.ini. Find fNearDistance and change it to 4.0 if you are playing with FOV of 90 or 2.0 if you are playing with FOV of 100 or 110.
Also, if not using already, don't forget to install Oblivion Display Tweaks as it has true widescreen FOV correction, similar to Fallout 3/NV and Skyrim.