OK, So I finally got the thing going and decided it was best to create a thread dedicated to the status of my project and keep the other one going as a Q&A thread.
Right now I've just deployed a virtual honeynet using VMWARE Workstation consisting of one unpatched windows 2000 proffessional guest and one Honeywall guest.
As it is just launched, there's nothing to report yet but I will keep you posted about whatever I might find interesting, stay tuned
Also I'd appreciate all support & traffic to my blog, The Honeyproject
EDIT: Windows 2000 Pro unpatched was a hilarious little experiment which got infected by thousands of worms in a matter of minutes. That project was scrapped within hours and I moved on to a Windows 2003 x64 enterprise on and Honeywall, still under VMWare.