Database Connection Issue

[lakedoo23]

I am trying to figure out why I cannot connect to the MySQL database, I followed the guide and able to do all the patches to the database from the required directory with no issues. I run the .bat file to launch the server and I get the following popup in the window.

http://snag.gy/EfiL2.jpg

I have tried this with XAAMP and I have tried installing MySQL directly and running the service.

I have this entry in my eqemu_config.xml

<database>
<host>localhost</host>
<port>3306</port>
<username>root</username>
<password>water</password>
<db>peq</db>
</database>

Thanks in advance for any assistance I am at a lost of what to try or check for other than the guide which I have went through a couple of times.