This problem has been fixed. I have found a more dummy proof html5 "video player" that includes a more detailed js file and fix for Opera and Safari(windows).
To answer your question, tedster, the issue was that Opera seemed to only want to place the poster image IF the video file directory had a slash [/] before it. WHICH caused it to NOT to display the video, but Hey!.. The poster was there. Remember I was getting this result from my "localhost" test server and my working file:/// on my pc, so I am not sure if you would get the same effect on a live server. And I couldn't find anything on the web that was related to configuring htaccess files. Soooo.
If anyone is bored and wants to see if they can duplicate the same issue, please let me know if you find any other work arounds other than using js. I have a real pet peeve about calling too many js files. Some CMSs have issues with it as well.
Any how. Like I said the included js script that was "packaged" with the html 5 "video player" fixed it.
Oh when will we ever see the day when all browser will just interpret the same code?(rhetorical question of course)