The problem about sprites in DBC is that you can't use GIF images and animate them. You need to open the GIF in an animation editor (Jasc Animation Shop, Flash, even Windows Movie Maker will work), then you need to take each frame and save it as a separate image.
Load all of the frames into memory, and each time during the loop switch frames to create the illusion of animation.
Crazy Donut Productions, Current Project: KillZone
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