I rewrote my code so I could have colored lights. The problem with the way I have done this here is that you pretty much need a DX10 card as I've had to use the Hi-Def profile vs. the Reach profile. The game runs in DX9, but the functions I'm using for manipulating the color channels differently than the alpha channels weren't exposed by many, if any, DX9 cards. DX10 cards expose these functions by default.
Anywho,
Some work from this morning.
*Torches are an item that can be placed as a block.
*Torches give off orange-yellow light.
*Any block has the ability to give off light, and soon any item.
*Fixed a bug with the water where I was checking if a block was solid and not if it wasn't air or liquid. This was causing the torches to spawn water on spawn.
I'll quickly texture the torches and check adjacency to a solid block so they will stand/hang from the blocks nearest them instead of standing straight up when they aren't placed on the ground.
After that comes day/night cycles with basic overhanging shadows.