I think it would work. I have a beige G3 minitower macintosh that has been upgraded to a G4. It is running at 400MHz. VPC runs Windows XP okay but you must understand that VPC doesn't offer any graphically accelerated video modes. I suppose that doesn't matter because MOL doesn't either.
If you can settle for Windows98 I think you could perform a decent amount of work on it with only minor annoyance. Just understand that you cannot, even with a real Mac using VPC, ever run any games requiring Direct3D hardware. The VPC environment emulates only a S3 Trio32/64 chipset with 4MB of RAM.
If that is okay then I am pretty sure you will achieve what you want.
