Hi Wulffpaul
Did you ever solve our issue, as I have exactly the same issue as you had? Please help me I treid everything suggested and still nothing works? What worked for you?
WLM can in fact open eml files in PC folders or from the desktop, because I have been saving emails, opening and reading them in their original format from anywhere I chose to on my PC.
However I am now all of a sudden, for no apparent reason, not able to do the above anymore (same as you).
I tried this below, but all that did was take me directly to my WLM Inbox. Besides there was no "wlmail.exe" to be found here:
Go find a .eml file and right-click on it.
Select "Open with.."
Select "Windows Live Mail" if it is listed.
If WLM is not listed, select "Choose Default program"
check "always use the selected program to open this kind of file"
click on "Browse"
go to
C:\Program Files\Windows Live\Mail
or
C:\Program Files (x86)\Windows Live\Mail (if you run 64 bit Win 7)
and click on "wlmail.exe"
click on "Open"
.