No there are no compiling Errors. I tried the same in WED. Now the Sprite shows up :-)
I will try the same with my Outdoor Level.
Edit:
The problem is there again. I don't untderstand why. Its just a Terrain wich is surrounded by a Sky Box. But the Sky Box is black colored on the Topside and on the Bottom. Could this caus the problem?
I've added a picture for you
Click here