Thanks wes4dbt, as i have located a fix thanks to your clues!

Error:
crqe.DLL and cxlibw-1-6.dll register error on insallation via packaged setup.

Fix:
Update DotNet Framework
include cxlibw-1-6.dll on the components to be added on the package
Set cxlibw-1-6.dll system path to $WinSysPath on final packaging setup(where you see all components, target location, Target system path)
crqe.dll error gone on the above fix


As for my original post, yes it is possible just be sure all components(DLLs,OCX,and the likes were included on the package.


Thanks!