I'm having the same issue, but the workaround does not work for me. Here's the debug info:
 
----Begin----
See the end of this message for details on invoking
just-in-time (JIT) debugging instead of this dialog box.
 
************** Exception Text **************
System.Xml.XmlException: '>' is an unexpected token. The expected token is '"' or '''. Line 1, position 62.
at System.Xml.XmlTextReaderImpl.Throw(Exception e)
at System.Xml.XmlTextReaderImpl.DtdParserProxy.System.Xml.IDtdParserAdapter.Throw(Exception e)
at System.Xml.DtdParser.Throw(Int32 curPos, String res, String[] args)
at System.Xml.DtdParser.ThrowUnexpectedToken(Int32 pos, String expectedToken1, String expectedToken2)
at System.Xml.DtdParser.ParseExternalId(Token idTokenType, Token declType, String& publicId, String& systemId)
at System.Xml.DtdParser.ParseInDocumentDtd(Boolean saveInternalSubset)
at System.Xml.DtdParser.Parse(Boolean saveInternalSubset)
at System.Xml.XmlTextReaderImpl.ParseDoctypeDecl()
at System.Xml.XmlTextReaderImpl.ParseDocumentContent()
at System.Xml.XmlTextReaderImpl.Read()
at System.Xml.XmlLoader.Load(XmlDocument doc, XmlReader reader, Boolean preserveWhitespace)
at System.Xml.XmlDocument.Load(XmlReader reader)
at System.Xml.XmlDocument.LoadXml(String xml)
at LiveUpload.Facebook.FacebookService.ExecuteQuery(SortedDictionary`2 parameters, String secretKey)
at LiveUpload.Facebook.FacebookService.CreateAuthToken()
at LiveUpload.Facebook.ConfigurationSettings.preAuthNextButton_Click(Object sender, EventArgs e)
at System.Windows.Forms.Control.OnClick(EventArgs e)
at System.Windows.Forms.Button.OnClick(EventArgs e)
at System.Windows.Forms.Button.OnMouseUp(MouseEventArgs mevent)
at System.Windows.Forms.Control.WmMouseUp(Message& m, MouseButtons button, Int32 clicks)
at System.Windows.Forms.Control.WndProc(Message& m)
at System.Windows.Forms.ButtonBase.WndProc(Message& m)
at System.Windows.Forms.Button.WndProc(Message& m)
at System.Windows.Forms.Control.ControlNativeWindow.OnMessage(Message& m)
at System.Windows.Forms.Control.ControlNativeWindow.WndProc(Message& m)
at System.Windows.Forms.NativeWindow.Callback(IntPtr hWnd, Int32 msg, IntPtr wparam, IntPtr lparam)
 
 
************** Loaded Assemblies **************
mscorlib
Assembly Version: 2.0.0.0
Win32 Version: 2.0.50727.1434 (REDBITS.050727-1400)

CodeBase: file:///C:/Windows/Microsoft.NET/Framework/v2.0.50727/mscorlib.dll

PublishPluginsInterop
Assembly Version: 14.0.0.0
Win32 Version: 14.0.5026.0905_ship.wlx.w3m2 (ship)

CodeBase: file:///C:/Program%20Files/Windows%20Live/Photo%20Gallery/PublishPluginsInterop.DLL

msvcm80
Assembly Version: 8.0.50727.1801
Win32 Version: 8.00.50727.1801

CodeBase: file:///C:/Windows/WinSxS/x86_microsoft.vc80.crt_1fc8b3b9a1e18e3b_8.0.50727.1801_none_d088a2ec442ef17b/msvcm80.dll

Microsoft.WindowsLive.PublishPlugins
Assembly Version: 1.0.0.0
Win32 Version: 14.0.5026.905

CodeBase: file:///C:/Program%20Files/Windows%20Live/Photo%20Gallery/Microsoft.WindowsLive.PublishPlugins.DLL

LiveUpload.Facebook
Assembly Version: 1.0.0.1
Win32 Version: 1.0.0.1

CodeBase: file:///C:/Program%20Files/LiveUpload/Facebook/LiveUpload.Facebook.dll

System.Windows.Forms
Assembly Version: 2.0.0.0
Win32 Version: 2.0.50727.1434 (REDBITS.050727-1400)

CodeBase: file:///C:/Windows/assembly/GAC_MSIL/System.Windows.Forms/2.0.0.0__b77a5c561934e089/System.Windows.Forms.dll

System.Xml
Assembly Version: 2.0.0.0
Win32 Version: 2.0.50727.1434 (REDBITS.050727-1400)

CodeBase: file:///C:/Windows/assembly/GAC_MSIL/System.Xml/2.0.0.0__b77a5c561934e089/System.Xml.dll

System
Assembly Version: 2.0.0.0
Win32 Version: 2.0.50727.1434 (REDBITS.050727-1400)

CodeBase: file:///C:/Windows/assembly/GAC_MSIL/System/2.0.0.0__b77a5c561934e089/System.dll

System.Drawing
Assembly Version: 2.0.0.0
Win32 Version: 2.0.50727.1434 (REDBITS.050727-1400)

CodeBase: file:///C:/Windows/assembly/GAC_MSIL/System.Drawing/2.0.0.0__b03f5f7f11d50a3a/System.Drawing.dll

Accessibility
Assembly Version: 2.0.0.0
Win32 Version: 2.0.50727.1434 (REDBITS.050727-1400)

CodeBase: file:///C:/Windows/assembly/GAC_MSIL/Accessibility/2.0.0.0__b03f5f7f11d50a3a/Accessibility.dll

System.Web
Assembly Version: 2.0.0.0
Win32 Version: 2.0.50727.1434 (REDBITS.050727-1400)

CodeBase: file:///C:/Windows/assembly/GAC_32/System.Web/2.0.0.0__b03f5f7f11d50a3a/System.Web.dll

System.Configuration
Assembly Version: 2.0.0.0
Win32 Version: 2.0.50727.1434 (REDBITS.050727-1400)

CodeBase: file:///C:/Windows/assembly/GAC_MSIL/System.Configuration/2.0.0.0__b03f5f7f11d50a3a/System.Configuration.dll

 
************** JIT Debugging **************
To enable just-in-time (JIT) debugging, the .config file for this
application or computer (machine.config) must have the
jitDebugging value set in the system.windows.forms section.
The application must also be compiled with debugging
enabled.
 
For example:
 
<configuration>
<system.windows.forms jitDebugging="true" />
</configuration>
 
When JIT debugging is enabled, any unhandled exception
will be sent to the JIT debugger registered on the computer
rather than be handled by this dialog box.
 
----End----
 
Any ideas?