Ruby cannot find sqlite3 driver on windows

Question

I am trying to set up Ruby on Rails on windows. I am using the Flash Rails distribution that looks pretty good, but there is an issue with sqlite3. I found the threads telling me to install version 1.2.3, which installed fine. I'm using ruby 1.9.0, and every time I try and run a script (e.g. rake db:create) that uses the database I get an error message "no driver for sqlite3 found".

This apparently is a missing sqlite3.dll, but I have the dll in my %PATH%, and I have also tried copying it into the directory where I am running the script from, the directory where the sqlite3 ruby code lives.

Does anyone have any ideas? If possible I want all teh ruby stuff to be self contained so I can use it from a pen drive.

EDIT: To clarify, I already used gem install to install the ruby-sqlite3 gem - it is just non functional as it cannot find the sqlite3.dll (even though it is actually present in a directory on my %PATH%)

EDIT PART 2: After doing some more digging, the problem appears that ruby will not load the sqlite3_api.dll. I have copied it all over my filesystem, I just get a failure to read file. Other dll libraries in the same directory (e.g. zlib.dll) work fine! I tried installing the dlls into system32, and that did not work either.