The 1.2 requirement has been removed for the most part, though it does still Error() out if you don't have at least 1.2. 1.1 is known to work on the Mac however.
The big problem is that you won't be able to get HTL, and software mode doesn't work all that well. I am in the process of upgrading the code so that the differences between HTL and non-HTL modes aren't that great. There is little difference between the two actually, as far as OpenGL is concerned, so the code path can be greatly simplified from what it is now.
It's something of a moot point though, since the plan is to actually raise the OpenGL version requirement to 1.4. We already have 3 or 4 ways to do most rendering in the OpenGL code, due to having to support everything down to 1.2, so this version bump would allow us to simplify the code. OpenGL 2.0 and 2.1 features are already getting coded in so the work of fully supporting everything is getting far more involved/complex. Plus, a totally new render API has to be written for OpenGL 3.0 support, so we have to prepare for that as well.
I can't promise anything, but I will try to improve 1.2 and pre-1.2 support with basic features (ie, no glow/spec/env/HTL etc.), assuming that you can be available to test out some builds so that I know I'm going in the right direction.