I looked in the assets panel and it is showing none of the textures that are part of the model. If I click on "Only show assets with problems" then the list goes empty. So TG is not loading them but it is not reporting the problem. Also, early on I forgot to copy the mtl file to the same directory where the obj is designated in the Obj reader node. It did report an error until I placed a copy of the file there. So that assures me that TG should be reading that file. Also, LW loads and displays the edited version of the mtl file correctly so I didn't do any damage when I edited it.
Now that I know that the mtl file is ASCII and, therefore editable, I'm next going to put one or more of the image files into the same directory with the obj. I'll then modify the mtl file so that it looks locally. That's the way I have done all of the plant models and it seems TG doesn't find the files unless I put them in the same directory. I have done this before for the cabin model but I didn't edit the paths in the mtl file. I'll let you know how things go.
It seems that some 3D applications impose a file organization on you that aren't very efficient storage-wise. For example, if I want to use the LW rendering system called "ScreamerNet" then I have to replicate all of the assets into each project's file system. I guess, though, that this tends to buffer the projects against the possibility of one of the assets being modified for benefit of another project and thus "breaking" the project. Looks like if I ever want to use my render farm for LW renders, I'll have to organize my project files differently.
<<<<<<<<<< UPDATE >>>>>>>>>>
I changed all of the path names in the mtl file for one of the assets to look into the same directory were the obj is located. Actually, I had copied all of the images some time ago so they were already there. TG does not load or display the textures. Apparently, Lightwave assumes paths are all absolute regardless of whether there is a leading '/' or not in the path name. So I removed the path and only left the drive designator and the file name (in the form E:file.nam). Lightwave does not find them and complains of file not found. This tells me that Lightwave must be looking in the drive's root directory for them. I conclude that all path names in the mtl file are always interpreted as being absolute path names by LW.
Come to think of it, all of the models I have been using successfully are TGO's. I had stopped using OBJ's (and LWO's before that) because I could never get the textures to show. I would convert my OBJ's to TGO's if I had a way to do it. Using the method Dune pointed out in another thread won't do. The textures are already gone by the time I get the model into TG. It seems that the method of right-clicking on the node and saving an obj doesn't produce an mtl file either. I tried it and there is no matching mtl file. It seems that I have no way to create my own textured models that are usable by TG at this point in time.