Directly import MDL into Blender? Never heard about that...
If i wanna import MDL Files into Blender (what isnt possible in my opinion), i import it into milkshape, export the MDL file as .obj, import into Blender, do what ever i want to do, export as FBX.


Tutorials:
[Blender]Terrain creation ENG/GER
[Blender]Low Poly Tree Modeling
[GIMP]Create a Texture for Terrains
CLICK HERE