Opening a very old thread. I'm half way done with my dual range transfer case. In my opinion best choice is NP/NV247 or 242 transfer case from old Grand Cherokee's, because they actually don't require any electricts to work. I chose 247 Quadra-Trac, because I like its "automatic" 4wd, low-range is just a bonus.
We have snowy climate and it's impossible to use Nitros' part-time 4wd. At the icy intersections you have to turn on 4wd to get going and then turn it off again, because of binding.
All the mechanics is done by now. New adapter from Grand Cherokee (WJ) and hybrid shaft, which connects transmission and transfer case. The transfer case would actually connect to Nitro's original adapter aswell, but I wanted to use Grand Cherokee's splined shaft. My CRD has NAG1 5-speed transmission and it has different splines from older NAG1 transmissions found in European WJ Cherokees, so buddy of mine milled me adaptor shaft.
I'm quite sure this conversion would be much more easier on petrol models and transfer would directly connect to 4-speed automatic. Pretty much all np/nv transfer cases have the same bolt pattern, only input shaft splines differ.
Switching from 4-auto to 4-low can also be solved with original switch.
Rear propeller shaft has to be shortened and transfer case rear output flange has to milled, because 247 box from diesel Grand Cherokee has CVT propeller shaft joints, Nitros have universal joints. Not sure if front one has to be extended (on CRD it has to be), front flange is the same.
Only issue I have, is when I go into 4-low my transmission goes into limp mode, because NAG transmission doesn't have output shaft speed sensor but uses ABS wheel sensors and transmission control unit sees gear slip, due to 2,72:1 low range ratio. 42RLE petrol automatic has separate speed sensor, so no problems- TCM and TIPM doesn't need to know, it's in 4-low.
I do have CDA software, where I can insert low range ratio, but it's useless, when TIPM doesn't know, when it's activated. It need new software, which doesn't seem to exist.