Hi Rag,
Yes, if you havea new control(is it COM visible?? and if so was it registered?). Note: that if you have two projects, one using the other as a "project reference" that is fine and will work, but you should use the DLL reference (as you tried) in other projects.
However, when you browsed you said you found the dll and added it.
Are you sure it was added?
Do you see it in the Referenced dll list of your project?
If not, make sure to add it then you should see it.
Also are you on Sp1 or non-Sp1 VS05?