"Unrecoverable build error" when building Visual Studio Deployment Projects

Recently I faced the error "Unrecoverable build error " at the time of building Setup/ Deployment projects in Visual Studio 2005.

I found the resolution by registering mergemod.dll assembly located at "C:\Windows\System32\ole32.dll".

try this:
"regsvr32 ole32.dll" at the run window.

After that it should display the message saying dll was successfully registered.