Current release: Alpha R2
It's a windowing system I made. Fairly versatile, doesn't have all the flashy crap LuaX does but I'm tryinng keep it lightweight so I can make a decent OS-like shell with it.
For other people who want to go ooh ahh at it ok that's great and suggestions are welcome.
Progress update as of 6/26/07: Check http://luanux.psptuts.net for info on progress including a wifi system and a keyboard.
Any other lua devs wanting more insight on how it works feel free to ask me and I'll explain more crap than the documentation has if you're interested in making stuff to run inside the windows.
Anyone who want's to do graphics for it feel free to ask and I'll feel free to say no since everything in it except tux's head and the background are generated by the program.
Download +more info link: http://luanux.psptuts.net/index.php?p=4