Alas, you have to expect delays in forum responses here.
Doing LPC animations is definitely a pretty big time investment, though of course you can always just expand the base and say others can expand the equipment. It might even work. But it's probably not something you'd want to jump right into off the bat.
I do have a random, non-animated sprite which is pretty basic if you'd like to have a go. He's located here: http://opengameart.org/content/15-minute-character-sprite
Not necessarily the best, but it's an option. Walking or running would probably be a good start, though any animation at all would probably be beneficial.
You'd think. I used a google search of the site to root out a lot of the backlog, but it's not all soundcloud. There are plenty of other similar like-adding services that are offered (twitter etc). I think soundcloud might just be more likely to get through because of the number of legit soundcloud links on the site?
As Evert said, yes. All you have to do is give credit as specified.
Search has been busted in various ways for quite a while. It was towards the top of Bart's to-do list, but something must have held it up. If I happen to see him on the IRC I will ping him about it.
CC-By does not require permission. The artist has already given permission by licensing it. Reread the license requirements--the central thing you need to do is give credit to the author.
I very much like this sort of thing, and I'm always happy to see someone else doing this kind of work. Bravo, and keep 'em coming :)
Isn't there already a very notable game called Pixel Dungeon? http://pixeldungeon.watabou.ru/
This will no doubt come in handy. I know in the past we've had a number of people asking for top-down zombies.
I appreciate you sharing this, but if you save pixel art as a .jpg it gets corrupted and becomes unusable. You need to use a non-lossy format like .png for pixel art.
It looks perfectly kosher to me. Nothing in the contest rules would exclude CC-By-SA assets at all. The only term they mention is the potential for conflicts with non-commercial licensing, but we don't accept those licenses into the archive.
Best of luck--I hope you use the assets and win some sweet loot. We'd all like to see that I think.