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I'm actually having the same problem. At first I thought it was just an issue with the grass and detail draw distance being visible and kind of annoying no matter how high the setting was, but I realize now that the game is really choppy with low FPS as well.
I will try the compatibility mode mentioned by Gnarf...Freedom, let me know if you have any luck with trying different things, as I love this game already as well, and really want to play and enjoy it!
Go to the game's folder within your computer (should be under Program Files, Steam, Steam apps, then Common) and right-click on ThreeWorlds.exe. There will be an option for "troubleshoot compatibility options," click on that and follow the instructions.
Unfortunately, it didn't help anything in my case, so it may be a waste of time.
I don't have the best setup (I'm gaming on a laptop, and I have AMD as well), but I definitely thought I would be able to run this game well. To be honest, I've gotten pretty frustrated with AMD since getting this laptop, and am looking forward to picking up a new computer with Radeon or something.
If you're on a laptop you will likely have an on-board graphics card as well which is usually picked by default unless specified.
Also this: http://steamcommunity.com/app/1930/discussions/0/540739861331424537/
Need to install legacy drivers for this game alongside your up to date drivers.
I personally have a Geforce 650m and the game runs fine after installing the legacy drivers.
Did it improve at all after installing the Legacy drivers?