A refined procedure, using
iZakaroN's SaveEditor to boost the sight range;
If you have skill points in Elven Sight, use the SaveEditor to remove them, otherwise give yourself some spare skill points, if needed. Re-load the save and put skill points into Elven Sight (and maybe Ranger Sight, if you have enough). Save, and repeat if necessary. Someone else found that the sight boost when learning Elven/Ranger Sight was added right away, not calculated each time you load the game (for example), so adding and removing points to these skills can get your sight back to normal (removing the skill points does not drop your sight range and you can learn these skills multiple times, if necessary).
The links above to the screen shots by Krunch are no longer valid. I had saved the jpgs when that post was made, and have cleaned up the hex editing jpgs significantly, improving the quality (jpeg makes text blurry), and greatly reduced the file size by converting them to png;
WeaponHack3 (15KB, originally 389KB)
MyHackedKnife (35KB)
MyHackedKnifeHex (17KB, originally 219KB)
Unless you want to play around with a hex editor though, there is an easier way to modify items (in addition to the editor mentioned above);
DAD's item editor