First the question if you used the buttons "Queue Analysis Pass" or "Add pre-rendering job", because x264 does not need preprocessing if you use the DGIndex.
You Avisynth script should be as empty as possible to first play a bit. Something like this (of course, use the autocropping of MeGUI and the recommended resize of MeGUI instead of these values here). You will probably know where you saved your *.avs file, probably thesame place as your d2v file is, which is probably again in the same place as your vob files.
LoadPlugin("C:\Users\..\tools\dgindex\DGDecode.dll")
DGDecode_mpeg2source("path to *.d2v")
crop( 10, 72, -8, -74)
Spline36Resize(704,288) # Spline36 (Neutral)
Undot() # Minimal Noise
But I'm guessing you will be encoding NTSC material, with which I have no experience at all since I have the luck of living in a PAL region.
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