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Migrating Materials from one project to another

Hello,
I am running into a problem where when I migrate a model or even copy the folder with the models and textures\Materials…the materials have all been reset and I have to drag all the textures back into the correct spot… is this how unreal works or and I doing something wrong?

In the content folder, the material seems to be correct but when I click on it it goes grey.

Use the “Migrate” functionality. It will copy all textures etc.