Currently the Toolset is only available on Deadlystream and I haven't had much time to really work on it.
I will correct that extension case issue soon. As far as the game paths, I will reference the read-me's section on the File menu:
"Change TLK File Paths... – Will be renamed to “Change Game Paths...” later on, but this allows you to change the paths for either KotOR game."
As for the read-me itself, I do intend to expand on it later, but I always say that if someone wants to write something up, I am more than willing to look over it, possibly modify it a bit, and will include it into the documentation.
I haven't planned on making the editor zoomable, but I would like to hear your thoughts on the feature and why it should be added. I promise I won't bite, so feel free to be honest.