Well it's the same FS2_Open engine, it's just that I've removed all the force-loaded tables and tried to make it so that things are intialized to empty defaults. So anything that's implemented in scripting would be doable.
In theory, this would let you basically write your own space sim or what-have-you from scratch, without having to worry about the underlying lowlevel code to make 3D graphics and sound and so on to work. Of course scripting doesn't give you that fine of control, and you probably wouldn't ever be able to optimize it 100% as good as C code, but if you just wanted a simple game or a mini movie-demo for a campaign that would work on any computer, or possibly a demo version of Freespace to stuff on a flash disk, this sort of thing could come in handy.
I also cleaned up the introductory debug spew somewhat.