As mentioned in that article, the eeriness comes from him creating the album through lucid dreaming, allegedly. Here's the original interview about that, its pretty fascinating:
Interview with David Toop, March 1994, The Face
Broaching this subject of dreams, he becomes animated and talks a long streak. "This album is really specific," he says, "because 70 percent of it is done from lucid dreaming... To have lucid dreams is to be conscious of being in a dream state, even to be capable of directing the action while still in a dream. I've been able to do it since I was little," Richard explains. "I taught myself how to do it and it's my most precious thing. Through the years, I've done everything that you can do, including talking and shagging with anyone you feel that takes your fancy. The only thing I haven't done is tried to kill myself. That's a bit shady. You probably wouldn't wake up, and you wouldn't know if it had worked, anyway. Or maybe you would.
"I often throw myself off skyscrapers or cliffs and zoom off right at the last minute That's quite good fun. It's well realistic. Eating food is quite smart. Like tasting food. Smells as well. I make foods up and sometimes they don't taste of anything—like they taste of some weird mish-mash of other things."
...
"About a year and a half ago," he says, "I badly wanted to dream tracks. Like imagine I'm in the studio and write a track in my sleep, wake up and then write it in the real world with real instruments. I couldn't do it at first. The main problem was just remembering it. Melodies were easy to remember. I'd go to sleep in my studio. I'd go to sleep for ten minutes and write three tracks - only small segments, not l00 percent finished tracks. I'd wake up and I'd only been asleep for ten minutes. That's quite mental.
"I vary the way I do it, dreaming either I'm in my studio, entirely the way it is, or all kinds of variations. The hardest thing is getting the sounds the same. It's never the same. It doesn't really come close to it. When you have a nightmare or a weird dream, you wake up and tell someone about it and it sounds really shit. It's the same for sounds, roughly. When I imagine sounds, they are in dream form. As you get better at doing it, you can get closer and closer to the actual sounds. But that's only 70 percent of it."