Yeah, every now and then I update the SVN and I see Sean has translated his batch of 66 lines... The thing is that he does that 4-5 times a day W-T-F? This is crazy, and I can vouch for the fact that it's indeed a very good translation, keeping the original game feeling.
An yeah, there are other things to translate besides the main scenario, but trust me, just the main scenario makes the game playable in English. The rest are:
-Finish the CC (at a rate like this, it could be finished in 1-2 weeks)
-Do the 10 remaining PNG's (no big deal, it's only a matter of deciding what to put in place of those reusable kanjis)
-Do the videos (they are only a few, it's more of a matter of finding out how to edit them without loosing quality).
About the PSP common formats, videas are usually in PMF, which is mpeg2 + muxed at3 audio, textures, in GIM format (which is a container for raw pixel data), audio can also be coded in ad-pcm (usually for mono sfx, while stereo BGM is usually in at3). However, each game is different and Type-0 only use PMF's for the videos, the rest are custom format just for Type-0.
As for the leaked SDK, it will only serve you for GIM pictures, however, it comes with no tools, and the included source is just a set of data definitions that makes it difficult to create any GIM converter: you can use it only to get a general idea how the format works... The rest is up to the programmer.
The SDK also contains sources for the GMO 3D model format. Again, it's just a set of definitions and simple methods. In order to create a GMO converter, you would have to pretty much do everything based on that source (this is one of the things that I did for the dissidia modding project).
~Sky