I've finally stopped slacking so much and got some stuff done. I have started school so that's one excuse I'll use.
Might as well start with new Screenshots:
There's a shot of you and Tarou in battle with some Spirits (they float around in game, so it's not so static). The next screenshot is you speaking with your brother after waking from a nightmare. Once I get his art done, I'll add him to the character list (with some of his background) on the first post. The next two screenshots are the interior of the abandoned Shibata Building. Once you step foot inside, your world is distorted, and you do not understand why. If you look at the final screenshot you see the main character approaching one of those Spirits shown in previous screenshots. Those guys come in 3 flavors: Blue, Yellow and Red. When You see a Blue Spirit you can rest assured that it will not harm you. Red Spirits are angry and can attack you without warning. Yellow Spirits are the unstable ones. When dealing with a Yellow Spirit, your actions or the things you say to it can either enrage it (turning Red) or pacify it (turning Blue). To avoid confusion, know that although these Spirits may have the capacity to fight you, they are not what you would call "on screen enemies". Every one of these Spirits' dialogue is unique and they can even help you out at times.
I've also gotten Hana Imai's art done, she is the 3rd playable character. You may notice some differences between this and the art I posted a while back. She was really fun to draw, the hat took a lot longer than I expected to not look stupid, and I'm still not sure if I've gotten it just right!
That's about it for the update. I'm running into walls trying to get my battle system to work exactly how I want it. Similar to "Press Turns" from the Shin Megami Tensei games, I wanted a system that granted MP whenever specific actions were met. However, I wanted certain Spirits that you have as a Host to have different requirements. So one Spirit gets MP restored upon critical hits, while another Spirit does so every time you Counter an attack. If it takes too long to get that working, I'll just stay with my original idea of simply restoring MP by defeating enemies. Perhaps the next update will come with a video instead of screenshots? Finally, I'm planning on getting a demo out in the coming weeks, it will consist of the intro to the end of the first Dungeon (around an hour).