#Addendum# Jan 14, 2007
I have edited this post as when the new blogger came out, the previous code did not work - head on to the updated blog at Blogger Buzz
Well, I just found a better way to embed those photos from picasa, an additional fullscreen feature and a cleaner look (well, just a little) on the User interface menu.
Here's the link where you can get your own code too. Be wary of steps no. 5, which is posting to your blog directly, didn't work for me. After step #4, go straight to step #6 where you get the code, paste this into your webpage.