Anyone here running Linux on dual core CPUs 2002

No way. There is no way those processor could pump out the heat, even with the best heat sinks around ( which would set you back far more than the price of the system). If those processors could be overclocked that way do you think that Intel would sell them as 2.66 processors? Some mild (10%) overclocking might be possible, but a factor 1.7-- never. If you try it, you will simply destroy the processors and the motherboard. Expensive experiment.

??? Sorry, that makes no sense-- unless there are severe bugs in your original single thread or in your MPP code. (I have no idea what LSDyna is mind you).

Why? This is a matter of computer coding. That your materials undergo strains over milli-micro second timescales is irrelevant. Either your code is designed to solve some specific mathematical problem or it is not (in which case it is buggy). What the problem is is irrelevant.

No it would not need an MPP version, but a single version of your code would run faster if you mpp coded it ( but of course only if you coded it properly).

Yes, it will certainly run.