I'll list the ideas I initialy had for the game, but everyone can give their ideas and help in the project.
Nothing's already set, not even the title.

Title: Skuld's Bug Bashing Adventure!!

Story: Something went wrong in Yggdrasil and bugs are spreading on Earth. Skuld decides to help to clean the infestation before it can cause some severe problems. The cause can be a virus or anything else.

The game itself can be like the original Skuld Bug Bashing with larger scenarios (like Mario Bros) where you have to kill all bugs or just finish a stage in order to advance (talking: plataform). Maybe use a world map like smb3, who knows.
Idea to play with other amg characters as well (Bell, Urd, Keiichi, Peorth, even Marller and Hild, those last two as secret) each with some kind of special ability.

Any other ideas like a mode where you need to bash the more number of bugs, things like that. And of course, use the SD version of the characters...

Post your ideas. If I get enough interest, I may start working in it.
While there's not a decision, I will build the foundation of the engine that may become this game.

I've had a revelation on that idea. Anyone ever play River City Ransom? THAT River City Ransom?
Put some elements of that in there!

I'll have to find and play that game to see...
Just list the features.

You'll find info on this Wikipedia page...
http://en.wikipedia.org/wiki/River_City_Ransom

Ok. I was thinking it would be nice to see SD or normal Rind using her battle axe to hit bugs...

And I have one idea of skills so let's say that we have large gap or something and the goddess needed to fly over than, but they needed to gat that skill from somehwere. Things following this line.

Yeah, exactly. In RCR you learned new techniques by buying certain books.
Maybe you have things scattered around the levels you need to find?
Either that or the sheer pulse-pounding fight speed of Virtual-On!

Like I said, we are only discussing ideas. If enough people like the idea of the project, I can start working on it as soon as I have artists to make the graphics.

huhuhu...i can't have much time for it dude...but i'll try my best...

Every little help is welcome.

what format do you want? i mean .jpg, .bmp, .gif?

Any of those. PNG is the best. The engine supports native transparency, so great effects can be made.

i'll try to create that .PNG...and i'm starting it now...

Okay. If you want to send anything to me to see how work's going, just pm me or anything.
And did you really liked the idea I presented?

are you planning to add bosses in every stage?

That can be a possibility. The original idea was something more like smb3, with "common" stages and "castle stages" and "main castle stages".