With a little more playing around, it seems that if I set _INTOSC instead of _INTRC_OSC_NOCLKOUT, it works. Looking at the datasheet I found a confusing set of clock descriptions: #5 and #6 below describe an EXTERNAL RC osc, while #7 and #8 describe and internal OSCILLATOR. What I don't see is where _INTRC_OSC_NOCLKOUT comes into play because it seems to refer to an INTERNAL RC osc, not the EXTERNAL described in #5 and #6 in the datasheet. Just call me Picky confused Biker.
5. RC – External Resistor-Capacitor (RC) with
FOSC/4 output on OSC2/CLKOUT.
6. RCIO – External Resistor-Capacitor (RC) with I/
O on OSC2/CLKOUT.
7. INTOSC – Internal oscillator with FOSC/4 output
on OSC2 and I/O on OSC1/CLKIN.
8. INTOSCIO – Internal oscillator with I/O on
OSC1/CLKIN and OSC2/CLKOUT.
To add to the confusion, the .inc file shows these to be the same!!!
_INTRC_OSC_NOCLKOUT EQU H'3FFC'
_INTRC_OSC_CLKOUT EQU H'3FFD'
_EXTRC_OSC_NOCLKOUT EQU H'3FFE'
_EXTRC_OSC_CLKOUT EQU H'3FFF'
_INTOSCIO EQU H'3FFC'
_INTOSC EQU H'3FFD'



You are correct dave. 

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