After editing the file to point to my current install path (because I have no dcs backup per say, the only backup I have is just the persian gulf module files) I tried running an update and then a repair but it did nothing.
Basically the issue right now is that I have Persian Gulf showing up as installed in the module manager but I can't use it in-game. If anyone has a suggestion to make it fully recognized by the game then I could call my problem solved.
EDIT: that's it! I've managed to get it to install properly. What I did was go into the module manager, go to the "available dlc" page, find the Persian Gulf module and click on install. For some reason, doing it this way actually searched for the files that I already had. Installing by clicking from the window list that pops up didn't search the same way.