OK. I guess your palette (UserControl) (or your project) has the reference to SheetManager COM component. That is, when you go to "Add references" dialog box and select the Sheet Manager component in the "COM" tab, VIsual Studio generates 2 interop assemblies:
interop.AcSmComponents19lib.dll
Interop.AXDbLib.dll (this is a dependency to the Sheet Manager component)
When you move your project files to a new project, you need to have these 2 interop assemblies both referenced, and "Copy Local" must be "True", "Embed Interop Types" must be "False".
To make things simple, in the newly created project, you simply remove old references, and go to "Add references" dialog box and "COM" tag to add reference to sheet manager component. This way, Visual Studio will create fresh interop assemblies for you, which would guaranteed to work (do not forget to make "Copy Local" and "Embed Interop Types" correctly set).