I have started working on the server and I created a basic Entity system which at the moment supports multiple players and a couple of boars walking ("patting") around an area of the map. The server connects to an oracle database which at the moment it is only used to support basic login functionality. I've also implemented targeting using colour picking. When you mouse over an entity it gets a little brighter and when you select (by left clicking on it) a circle appears around it on the terrain. The colour of the circle will indicate hostility: green is friendly yellow is neutral and of course red is hostile (although I have not started with the combat system yet). I also added walk, run and idle animations for the player character model and the boar model.
The next two screenshots where taken at the same time from 2 different players looking at each other.