Blocking on sample

[GH057]

I have been ripping copies of my movies and encoding them in mkv format for some time, but recently after encoding some movies I am getting what looks like big pixels throughout the screen. I have tried using more noise reduction as well as resize and even the making the size of the encoded file larger, but they all come out the same.

I have ripped the VOB from a DVD using DVD Decrypter and then used the following settings to for the d2v file:
Color Correction: ticked
Source Type: Interlaced
Field Order: Top Field First
Deinterlace: Yadif
Resize Filter: Lanczos (Sharp) & Spline 36 (Neutral)
Noise Filter: Minimal Noise & Little Noise

After saving and then completing that job I use the AutoEncode function with all the necessary files and use these settings:
Container: MKV
File Size: has ranged from 400 to 500MB

If anyone would like to take a look at a 5 second sample to try and help me I would really appreciate it.
http://rapidshare.com/files/360076496/sample.mkv

[CWR03]

Too low of a bitrate?

[GH057]

I have encoded 2 hour movies into 300MB and not have this problem before. The file I am currently having trouble with is 02:43 hours.

[CWR03]

You've encoded a 2:23 hour movie at a resolution of 720 x 576 and a framerate of 25 into 500 MB. It's overcompressed. To fix it your only choices are to use a smaller resolution (will cost detail) or use a bigger end file size.

[manono]

As CWR03 says, the bitrate is too low, way too low. Not all video compresses the same. This source doesn't compress well at all.

[GH057]

I have now encoded it at 550MB with a bitrate of 465.

Do either of you have any recommendations on what the bitrate should be?

[manono]

You increased the size by 10%? And you thought that might make a significant improvement?

You want to keep that same resolution? Do a quality encode (CRF I believe, for x264) and let the size become what it has to for that source. Try 18.

[GH057]

I'm still only a newbie at this so I don't understand what you mean by CRF.

[manono]

I don't know what program you're using to do the encoding, but somewhere there must be a way to do one-pass quality-based encodes. Perhaps someone that recognizes the terms and settings you mentioned earlier (AutoEncode?) can help out.

[GH057]

Sorry about that. I am using MeGui.

[GH057]

I think the main factor here is that when I ripped the disc I used a DVD5 setting instead of a DVD9 which this disc is, so I am going to rip again at DVD9 settings and encode it again and see the difference.

[CWR03]

That won't change anything. As already stated twice, your problem is the bitrate/resolution you're using. You'll need something like 1500kb/s to get a very sharp output at that frame size.