There is an example of using 3d sprites in the binary moon tutorials on the developer section of the website. It\'s probably a good idea to start there and examine the functions in \"sprite.dba\" (that you download in the sourcepack for the tutorial).
I personally use the following code to create the sprite (basically the same as the code from the binary moon tutorial library).
function create_3d_sprite(id,width,height,image,trans,ghost)
make object plain id,width,height : set object id,1,trans,1,1,0,0,0 : texture object id,image
set object collision off id : lock object on id
if ghost = 1 then ghost object on id
if ghost = 0 then ghost object off id
endfunction
Then I use the following function to position the sprite (this is actually for using a 3d plain as a mouse cursor and getting it to follow the mouse pointer around the screen).
function dl_position_3d_cursor(id,x,y)
if screen width() = 1024 then m_x# = 3.2
if screen width() = 800 then m_x# = 2.5
if screen width() = 640 then m_x# = 2.0
position object id,((x-(screen width()/2.0))+(object size x(id)/2))/m_x#,-1*(((y-(screen height()/2.0))+(object size y(id)/2))/m_x#),200
endfunction
You move and resize plains in exactly the same way as you move and rescale objects normally. Using the MOVE OBJECT, SCALE OBJECT etc.. commands. If you don\'t want the objects to show then you use the HIDE OBJECT command. If you want to change the image on a plain then just texture it with a different image. The only slight difficulty comes with trying to align the images with ordinary 2d screen coordinates but the above function does that ok (someone probably has a much better way of doing it than that though).
An example of using 3d plains as sprites can be found in the Swarm game example. Look at that, look at the binary moon tutorials and search the forum. You\'ll find all of the information you need on the subject.