well you dont NEED it to be updated. you can get most of the graphical effects without actually having to have its "GameInfo" folder with it.  also if you know how to mod at all you can look and see what was changed in the patch and if anything in the gameinfo folder was actually changed (for bailknights mod). if the patch didnt change any file structures then chances are it will work flawlessly. of course you can also try just moving it over into the new patch folder as is and see if it will actually run (but i doubt it will, i know i had to create a new entity.manifest for a small ability i made for someone elce before it would work with the patch)

well. assuming you know how to install mods in general, you can just move every file except the "GameInfo" file that came with the download to the new patch mod folder (should be something like "Diplomacy - 1.2").  once thats done just go into the game, enable the mod like any other mod. a side note though is that you will JUST be playing default sins with a few graphical improvements (such as weapons, etc) and that you wont be getting any midifications to the actual game play that he may have made.

I was wrong about what messed up Bailknights.

http://www.mediafire.com/file/pk7vcd89blnn59q/Bailknight%27s%20Graphic%20Mod.zip

This is the fixed version.

Its for Diplomacy 1.2

If you have Entrenchment then there was no need to fix as the devs didn't touch Entrenchment/Original this patch.