Thanks for your post.
I wasn't immediately sure if the TDE was likely to be the problem or not (OLR can fail on some backup files just through sheer bad luck) but reading here
it does suggest the backups can only be read on the original instance. Our tool doesn't have options to let you specify a certificate or similar.
So I think the only workaround if you need to recover specific objects/data would be to restore your backup as a temporary database then use SQL Compare (and Data Compare if you need to also recover data) to synchronize the objects in question back to the main database.