Just take dominion 10 for the Dracolich and you're set
Don't ask how much it costs to raise dominion from 1 to 10, though...
I described my reasoning for it to Alneyan a bit more in detail but I seem to have lost it... Maybe a good thing, here's the crux: The dragons in the mod are too powerful with their AOE attack, and two regular attacks! Take an S5 Dracolich (=S3 in dragon form) and you have on turn 1 a luck-casting monstrosity (Utgård, remember) that can't be stopped. Then later it gets such nasties as astral weapon and body ethereal and teleport, making it really a lean mean killing machine. No need for equipment or anything, just lob it in the right direction... VQ can't hold a candle to it, by far, costing more for less.