Directional Lighting

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SillyPutty

Has anyone got an idea on how to place lightsources so that shadows be generated correctly ?

For instance light affecting objects and casting shadows.

I have seen it talked about in older threads, the only place I have seen it implemented is in one of cyanides projects, check the second pic.

http://www.blitzbasic.com/Community/posts.php?topic=50188

Any ideas ?