Love it, one of my first programming things was something like this (much uglier and simpler though), in a scripting language for a terminal program on the Amiga, it's name forgotten... to let me shout messages in ASCII art into some mailbox's chat program.
Note: The character picker algorithm is currently pretty broken as it only uses the alpha, this will be fixed soon.<p>Colored images still look good though.<p>Edit: Fixed in the latest commit