There used to be heaps and heaps of art assets on the Big Blue Box website, not sure if that's still there though...
I remember seeing a Preview for it in a magazine, it looked somewhat far along with characters and whatnot, although I don't remember seeing any true 'in-game' shots, only stuff rendered with the game engine.
There was a running alpha version, but I only saw short parts of it (true gameplay though) during an interview with Peter Molyneux. I still have some (german) previews of it as well. They sure will have stopped developing, but I found it very interesting. Like Fable in the early past, very nice.