diff --git a/bullet/bindings.d b/bullet/bindings.d
index 8c41559cc..e5fc07390 100644
--- a/bullet/bindings.d
+++ b/bullet/bindings.d
@@ -32,12 +32,23 @@ extern(C):
 
 // Initialize the dynamic world. Returns non-zero if an error occurs.
 int cpp_initBullet();
-void cpp_timeStep(float delta);
-void cpp_cleanupBullet();
+
+// Warp the player to a specific location.
+void cpp_movePlayer(float x, float y, float z);
+
+// Request that the player moves in this direction
+void cpp_setPlayerDir(float x, float y, float z);
+
+// Get the current player position, after physics and collision have
+// been applied.
+void cpp_getPlayerPos(float *x, float *y, float *z);
 
 // Insert a debug collision object
 void cpp_insertBox(float x, float y, float z);
 
-// Move the player's collision shape
-int cpp_movePlayerCollision(float x, float y, float z,
-                            float dx, float dy, float dz);
+// Move the physics simulation 'delta' seconds forward in time
+void cpp_timeStep(float delta);
+
+// Deallocate objects
+void cpp_cleanupBullet();
+
diff --git a/bullet/cpp_bullet.cpp b/bullet/cpp_bullet.cpp
index 5e34f9a7a..61a377ba0 100644
--- a/bullet/cpp_bullet.cpp
+++ b/bullet/cpp_bullet.cpp
@@ -1,196 +1,229 @@
-#include "btBulletCollisionCommon.h"
+#include "btBulletDynamicsCommon.h"
 
 #include <iostream>
 
 using namespace std;
 
-btDefaultCollisionConfiguration* m_collisionConfiguration;
-btCollisionDispatcher *m_dispatcher;
-btBroadphaseInterface *m_broadphase;
-//btSequentialImpulseConstraintSolver* m_solver;
-//btDynamicsWorld *m_dynamicsWorld;
-btCollisionWorld *m_collisionWorld;
+class CustomOverlappingPairCallback;
 
-//btCollisionObject* m_playerObject;
-btConvexShape *playerShape;
+// System variables
+btDefaultCollisionConfiguration* g_collisionConfiguration;
+btCollisionDispatcher *g_dispatcher;
+//btBroadphaseInterface *g_broadphase;
+btAxisSweep3 *g_broadphase;
+btSequentialImpulseConstraintSolver* g_solver;
+btDynamicsWorld *g_dynamicsWorld;
+
+// Player variables
+btCollisionObject* g_playerObject;
+btConvexShape *g_playerShape;
+
+// Player position. This is updated automatically by the physics
+// system based on g_walkDirection and collisions. It is read by D
+// code through cpp_getPlayerPos().
+btVector3 g_playerPosition;
+
+// Walking vector - defines direction and speed that the player
+// intends to move right now. This is updated from D code each frame
+// through cpp_setPlayerDir(), based on player input (and later, AI
+// decisions.) The units of the vector are points per second.
+btVector3 g_walkDirection;
+
+// These variables and the class below are used in player collision
+// detection. The callback is injected into the broadphase and keeps a
+// continuously updated list of what objects are colliding with the
+// player (in g_pairCache). This list is used in the function called
+// recoverFromPenetration() below.
+btHashedOverlappingPairCache* g_pairCache;
+CustomOverlappingPairCallback *g_customPairCallback;
+
+// Include the player physics
+#include "cpp_player.cpp"
+
+class CustomOverlappingPairCallback : public btOverlappingPairCallback
+{
+public:
+  virtual btBroadphasePair* addOverlappingPair(btBroadphaseProxy* proxy0,
+                                               btBroadphaseProxy* proxy1)
+  {
+    if (proxy0->m_clientObject==g_playerObject ||
+        proxy1->m_clientObject==g_playerObject)
+      return g_pairCache->addOverlappingPair(proxy0,proxy1);
+    return 0;
+  }
+
+  virtual void* removeOverlappingPair(btBroadphaseProxy* proxy0,
+                                      btBroadphaseProxy* proxy1,
+                                      btDispatcher* dispatcher)
+  {
+    if (proxy0->m_clientObject==g_playerObject ||
+        proxy1->m_clientObject==g_playerObject)
+      return g_pairCache->removeOverlappingPair(proxy0,proxy1,dispatcher);
+
+    return 0;
+  }
+
+  void removeOverlappingPairsContainingProxy(btBroadphaseProxy* proxy0,
+                                             btDispatcher* dispatcher)
+  {    if (proxy0->m_clientObject==g_playerObject)
+      g_pairCache->removeOverlappingPairsContainingProxy(proxy0,dispatcher);
+  }
+
+  /* KILLME
+  btBroadphasePairArray& getOverlappingPairArray()
+  { return g_pairCache->getOverlappingPairArray(); }
+  btOverlappingPairCache* getOverlappingPairCache()
+  { return g_pairCache; }
+  */
+};
 
 extern "C" int32_t cpp_initBullet()
 {
+  // ------- SET UP THE WORLD -------
+
   // Set up basic objects
-  m_collisionConfiguration = new btDefaultCollisionConfiguration();
-  m_dispatcher = new btCollisionDispatcher(m_collisionConfiguration);
-  m_broadphase = new btDbvtBroadphase();
-  m_collisionWorld =
-    new btCollisionWorld(m_dispatcher, m_broadphase,
-                         m_collisionConfiguration);
+  g_collisionConfiguration = new btDefaultCollisionConfiguration();
+  g_dispatcher = new btCollisionDispatcher(g_collisionConfiguration);
+  //g_broadphase = new btDbvtBroadphase();
+  g_solver = new btSequentialImpulseConstraintSolver;
 
-  /*m_solver = new btSequentialImpulseConstraintSolver;
-  m_dynamicsWorld =
-    new btDiscreteDynamicsWorld(m_dispatcher, m_broadphase,
-                                m_solver, m_collisionConfiguration);
-  m_dynamicsWorld->setGravity(btVector3(0,-10,0));
-  */
+  // TODO: Figure out what to do with this. We need the user callback
+  // function used below (I think), but this is only offered by this
+  // broadphase implementation (as far as I can see.)
+  btVector3 worldMin(-100000,-100000,-100000);
+  btVector3 worldMax(100000,100000,100000);
+  g_broadphase = new btAxisSweep3(worldMin,worldMax);
 
-  // Create player collision object
-  //playerShape = new btCylinderShape(btVector3(50, 50, 50));
-  playerShape = new btSphereShape(50);
+  g_dynamicsWorld =
+    new btDiscreteDynamicsWorld(g_dispatcher,
+                                g_broadphase,
+                                g_solver,
+                                g_collisionConfiguration);
 
+  //g_dynamicsWorld->setGravity(btVector3(0,-10,0));
+
+
+  // ------- SET UP THE PLAYER -------
+
+  // Create the player collision shape.
+  float width = 50;
+  //float height = 50;
   /*
-  m_playerObject = new btCollisionObject ();
-  m_playerObject->setCollisionShape (m_shape);
-  m_playerObject->setCollisionFlags (btCollisionObject::CF_NO_CONTACT_RESPONSE);
+  // One possible shape is the convex hull around two spheres
+  btVector3 spherePositions[2];
+  btScalar sphereRadii[2];
+  sphereRadii[0] = width;
+  sphereRadii[1] = width;
+  spherePositions[0] = btVector3 (0.0, height/2.0, 0.0);
+  spherePositions[1] = btVector3 (0.0, -height/2.0, 0.0);
+  m_shape = new btMultiSphereShape(btVector3(width/2.0, height/2.0, width/2.0),
+                                   &spherePositions[0], &sphereRadii[0], 2);
   */
+  //g_playerShape = new btCylinderShape(btVector3(50, 50, 50));
+  g_playerShape = new btSphereShape(width);
 
-  /*
-  // Dynamic shapes:
+  // Create the collision object
+  g_playerObject = new btCollisionObject ();
+  g_playerObject->setCollisionShape (g_playerShape);
+  g_playerObject->setCollisionFlags (btCollisionObject::CF_NO_CONTACT_RESPONSE);
 
-  // Re-using the same collision is better for memory usage and
-  // performance.
 
-  btCollisionShape* colShape = new btBoxShape(btVector3(1,1,1));
-  //btCollisionShape* colShape = new btSphereShape(btScalar(1.));
-  //m_collisionShapes.push_back(colShape);
+  // ------- OTHER STUFF -------
 
-  // Create Dynamic Objects
-  btTransform startTransform;
-  startTransform.setIdentity();
+  // Create a custom callback to pick out all the objects colliding
+  // with the player. We use this in the collision recovery phase.
+  g_pairCache = new btHashedOverlappingPairCache();
+  g_customPairCallback = new CustomOverlappingPairCallback();
+  g_broadphase->setOverlappingPairUserCallback(g_customPairCallback);
 
-  mass = 1.f;
+  // Set up the callback that moves the player at the end of each
+  // simulation step.
+  g_dynamicsWorld->setInternalTickCallback(playerStepCallback);
 
-  colShape->calculateLocalInertia(mass,localInertia);
+  // Add the character collision object to the world.
+  g_dynamicsWorld->addCollisionObject(g_playerObject
+                                      ,btBroadphaseProxy::DebrisFilter
+                                      //,btBroadphaseProxy::StaticFilter
+                                      );
 
-///create 125 (5x5x5) dynamic objects
-#define ARRAY_SIZE_X 5
-#define ARRAY_SIZE_Y 5
-#define ARRAY_SIZE_Z 5
-
-#define START_POS_X -5
-#define START_POS_Y -5
-#define START_POS_Z -3
-
-  float start_x = START_POS_X - ARRAY_SIZE_X/2;
-  float start_y = START_POS_Y;
-  float start_z = START_POS_Z - ARRAY_SIZE_Z/2;
-
-  for (int k=0;k<ARRAY_SIZE_Y;k++)
-    for (int i=0;i<ARRAY_SIZE_X;i++)
-      for(int j = 0;j<ARRAY_SIZE_Z;j++)
-        {
-          startTransform.setOrigin(btVector3(2.0*i + start_x,
-                                             10+2.0*k + start_y,
-                                             2.0*j + start_z));
-
-          btDefaultMotionState* myMotionState =
-            new btDefaultMotionState(startTransform);
-
-          btRigidBody::btRigidBodyConstructionInfo
-            rbInfo(mass,myMotionState,colShape,localInertia);
-
-          btRigidBody* body = new btRigidBody(rbInfo);
-          body->setActivationState(ISLAND_SLEEPING);
-
-          m_dynamicsWorld->addRigidBody(body);
-          body->setActivationState(ISLAND_SLEEPING);
-        }
-  */
+  // Success!
   return 0;
 }
 
-extern "C" int32_t cpp_movePlayerCollision(float x, float y, float z,
-                                        float dx, float dy, float dz)
+// Warp the player to a specific location. We do not bother setting
+// rotation, since it's completely irrelevant for collision detection.
+extern "C" void cpp_movePlayer(float x, float y, float z)
 {
-  btTransform start, end;
-  start.setIdentity();
-  end.setIdentity();
-
-  // The sweep test moves the shape from the old position to the
-  // new. The 0.1 offset in one of the coordinates is to make sure a
-  // sweep is performed even when the player does not move.
-  start.setOrigin(btVector3(x, y, z));
-  end.setOrigin(btVector3(x+dx,y+dy,z+dz));
-
-  btCollisionWorld::ClosestConvexResultCallback cb(btVector3(0,0,0),
-                                            btVector3(0,0,0));
-
-  m_collisionWorld->convexSweepTest(playerShape, start, end, cb);
-
-  if(cb.hasHit()) return 1;
-  else return 0;
+  btTransform tr;
+  tr.setIdentity();
+  tr.setOrigin(btVector3(x,y,z));
+  g_playerObject->setWorldTransform(tr);
 }
 
+// Request that the player moves in this direction
+extern "C" void cpp_setPlayerDir(float x, float y, float z)
+{ g_walkDirection.setValue(x,y,z); }
+
+// Get the current player position, after physics and collision have
+// been applied.
+extern "C" void cpp_getPlayerPos(float *x, float *y, float *z)
+{
+  *x = g_playerPosition.getX();
+  *y = g_playerPosition.getY();
+  *z = g_playerPosition.getZ();
+}
+
+// Insert a debug collision shape
 extern "C" void cpp_insertBox(float x, float y, float z)
 {
   btCollisionShape* groundShape =
     new btSphereShape(50);
     //new btBoxShape(btVector3(100,100,100));
 
+  // Create a motion state to hold the object (not sure why yet.)
   btTransform groundTransform;
   groundTransform.setIdentity();
   groundTransform.setOrigin(btVector3(x,y,z));
-
-  btCollisionObject *obj = new btCollisionObject;
-  obj->setCollisionShape(groundShape);
-  obj->setWorldTransform(groundTransform);
-
-  m_collisionWorld->addCollisionObject(obj);
-
-  /*
-  m_collisionWorld->addCollisionObject(obj,
-      btBroadphaseProxy::DebrisFilter,  // ??
-      btBroadphaseProxy::StaticFilter); // Only static objects
-
-  /*
   btDefaultMotionState* myMotionState =
     new btDefaultMotionState(groundTransform);
 
+  // Create a rigid body from the motion state. Give it zero mass and
+  // inertia.
   btRigidBody::btRigidBodyConstructionInfo
     rbInfo(0, myMotionState, groundShape, btVector3(0,0,0));
-
   btRigidBody* body = new btRigidBody(rbInfo);
 
-  // Add the body to the dynamics world
-  m_dynamicsWorld->addRigidBody(body);
-  */
+  // Add the body to the world
+  g_dynamicsWorld->addRigidBody(body);
 }
 
-/*
+// Move the physics simulation 'delta' seconds forward in time
 extern "C" void cpp_timeStep(float delta)
 {
-  // TODO: Find what unit Bullet uses here
-  m_dynamicsWorld->stepSimulation(delta / 1000.f);
+  // TODO: We might experiment with the number of time steps. Remember
+  // that the function also returns the number of steps performed.
+  g_dynamicsWorld->stepSimulation(delta,2);
 }
-*/
 
 // Cleanup in the reverse order of creation/initialization
 extern "C" void cpp_cleanupBullet()
 {
   // Remove the rigidbodies from the dynamics world and delete them
-  for (int i=m_collisionWorld->getNumCollisionObjects()-1; i>=0 ;i--)
+  for (int i=g_dynamicsWorld->getNumCollisionObjects()-1; i>=0 ;i--)
     {
-      btCollisionObject* obj = m_collisionWorld->getCollisionObjectArray()[i];
-      /*
+      btCollisionObject* obj = g_dynamicsWorld->getCollisionObjectArray()[i];
       btRigidBody* body = btRigidBody::upcast(obj);
 
       if (body && body->getMotionState())
         delete body->getMotionState();
-      */
 
-      m_collisionWorld->removeCollisionObject( obj );
+      g_dynamicsWorld->removeCollisionObject( obj );
       delete obj;
     }
 
-  // Delete collision shapes
-  /*
-  for (int j=0;j<m_collisionShapes.size();j++)
-    {
-      btCollisionShape* shape = m_collisionShapes[j];
-      delete shape;
-    }
-  */
-
-  delete m_collisionWorld;
-  //delete m_solver;
-  delete m_broadphase;
-  delete m_dispatcher;
-  delete m_collisionConfiguration;
+  delete g_dynamicsWorld;
+  delete g_solver;
+  delete g_broadphase;
+  delete g_dispatcher;
+  delete g_collisionConfiguration;
 }
diff --git a/bullet/cpp_player.cpp b/bullet/cpp_player.cpp
new file mode 100644
index 000000000..1e38fa9c0
--- /dev/null
+++ b/bullet/cpp_player.cpp
@@ -0,0 +1,303 @@
+// This file handles player-specific physics and collision detection
+
+// TODO: Later we might handle various physics modes, eg. dynamic
+// (full physics), player_walk, player_fall, player_swim, player_float,
+// player_levitate, player_ghost. These would be applicable to any
+// object (through Monster script), allowing player physics to be used
+// on NPCs and creatures.
+
+// Variables used internally in this file. Once we make per-object
+// player collision, these will be member variables.
+bool g_touchingContact;
+btVector3 g_touchingNormal;
+
+// Returns the reflection direction of a ray going 'direction' hitting
+// a surface with normal 'normal'
+btVector3 reflect (const btVector3& direction, const btVector3& normal)
+{ return direction - (btScalar(2.0) * direction.dot(normal)) * normal; }
+
+// Returns the portion of 'direction' that is perpendicular to
+// 'normal'
+btVector3 perpComponent (const btVector3& direction, const btVector3& normal)
+{ return direction - normal * direction.dot(normal); }
+
+btManifoldArray manifoldArray;
+
+// Callback used for collision detection sweep tests. It prevents self
+// collision and is used in calls to convexSweepTest().
+class ClosestNotMeConvexResultCallback : public btCollisionWorld::ClosestConvexResultCallback
+{
+public:
+  ClosestNotMeConvexResultCallback()
+    : btCollisionWorld::ClosestConvexResultCallback
+      (btVector3(0.0, 0.0, 0.0), btVector3(0.0, 0.0, 0.0))
+  {
+    m_collisionFilterGroup = g_playerObject->
+      getBroadphaseHandle()->m_collisionFilterGroup;
+
+    m_collisionFilterMask = g_playerObject->
+      getBroadphaseHandle()->m_collisionFilterMask;
+  }
+
+  btScalar addSingleResult(btCollisionWorld::LocalConvexResult&
+                           convexResult, bool normalInWorldSpace)
+  {
+    if (convexResult.m_hitCollisionObject == g_playerObject) return 1.0;
+
+    return ClosestConvexResultCallback::addSingleResult
+      (convexResult, normalInWorldSpace);
+  }
+};
+
+/* Used to step up small steps and slopes. Not done.
+void KinematicCharacterController::stepUp (const btCollisionWorld* world)
+{
+  // phase 1: up
+  btVector3 targetPosition = g_playerPosition + btVector3 (btScalar(0.0), m_stepHeight, btScalar(0.0));
+  btTransform start, end;
+
+  start.setIdentity ();
+  end.setIdentity ();
+
+  // FIXME: Handle penetration properly
+  start.setOrigin (g_playerPosition + btVector3(0.0, 0.1, 0.0));
+  end.setOrigin (targetPosition);
+
+  ClosestNotMeConvexResultCallback callback (g_playerObject);
+  world->convexSweepTest (g_playerShape, start, end, callback);
+
+  if (callback.hasHit())
+    {
+      // we moved up only a fraction of the step height
+      m_currentStepOffset = m_stepHeight * callback.m_closestHitFraction;
+      g_playerPosition.setInterpolate3(g_playerPosition, targetPosition,
+                                       callback.m_closestHitFraction);
+    }
+  else
+    {
+      m_currentStepOffset = m_stepHeight;
+      g_playerPosition = targetPosition;
+    }
+}
+*/
+
+void updateTargetPositionBasedOnCollision (const btVector3& hitNormal,
+                                           btVector3 &targetPosition)
+{
+  btVector3 movementDirection = targetPosition - g_playerPosition;
+  btScalar movementLength = movementDirection.length();
+
+  if (movementLength <= SIMD_EPSILON)
+    return;
+
+  // Is this needed?
+  movementDirection.normalize();
+
+  btVector3 reflectDir = reflect(movementDirection, hitNormal);
+  reflectDir.normalize();
+
+  btVector3 perpendicularDir = perpComponent (reflectDir, hitNormal);
+
+  targetPosition = g_playerPosition;
+  targetPosition += perpendicularDir * movementLength;
+}
+
+// This covers all normal forward movement and collision, including
+// walking sideways when hitting a wall at an angle. It does NOT
+// handle walking up slopes and steps, or falling/gravity.
+void stepForward(btVector3& walkMove)
+{
+  btVector3 originalDir = walkMove.normalized();
+
+  // If no walking direction is given, we still run the function. This
+  // allows moving forces to push the player around even if she is
+  // standing still.
+  if (walkMove.length() < SIMD_EPSILON)
+    originalDir.setValue(0.f,0.f,0.f);
+
+  btTransform start, end;
+  btVector3 targetPosition = g_playerPosition + walkMove;
+  start.setIdentity ();
+  end.setIdentity ();
+	
+  btScalar fraction = 1.0;
+  btScalar distance2 = (g_playerPosition-targetPosition).length2();
+
+  if (g_touchingContact)
+    if (originalDir.dot(g_touchingNormal) > btScalar(0.0))
+      updateTargetPositionBasedOnCollision (g_touchingNormal, targetPosition);
+
+  int maxIter = 10;
+
+  while (fraction > btScalar(0.01) && maxIter-- > 0)
+    {
+      start.setOrigin (g_playerPosition);
+      end.setOrigin (targetPosition);
+
+      ClosestNotMeConvexResultCallback callback;
+      g_dynamicsWorld->convexSweepTest (g_playerShape, start, end, callback);
+		
+      fraction -= callback.m_closestHitFraction;
+
+      if (callback.hasHit())
+        {	
+          // We moved only a fraction
+          btScalar hitDistance = (callback.m_hitPointWorld - g_playerPosition).length();
+          // If the distance is further than the collision margin,
+          // move
+          if (hitDistance > 0.05)
+            g_playerPosition.setInterpolate3(g_playerPosition, targetPosition,
+                                             callback.m_closestHitFraction);
+
+          updateTargetPositionBasedOnCollision(callback.m_hitNormalWorld,
+                                               targetPosition);
+          btVector3 currentDir = targetPosition - g_playerPosition;
+          distance2 = currentDir.length2();
+
+          if (distance2 <= SIMD_EPSILON)
+            break;
+
+          currentDir.normalize();
+
+          if (currentDir.dot(originalDir) <= btScalar(0.0))
+            break;
+        }
+      else
+        // we moved the whole way
+        g_playerPosition = targetPosition;
+    }
+}
+
+/* Not done. Will handle gravity, falling, sliding, etc.
+void KinematicCharacterController::stepDown (const btCollisionWorld* g_dynamicsWorld, btScalar dt)
+{
+  btTransform start, end;
+
+  // phase 3: down
+  btVector3 step_drop = btVector3(btScalar(0.0), m_currentStepOffset, btScalar(0.0));
+  btVector3 gravity_drop = btVector3(btScalar(0.0), m_stepHeight, btScalar(0.0));
+  targetPosition -= (step_drop + gravity_drop);
+
+  start.setIdentity ();
+  end.setIdentity ();
+
+  start.setOrigin (g_playerPosition);
+  end.setOrigin (targetPosition);
+
+  ClosestNotMeConvexResultCallback callback (g_playerObject);
+  g_dynamicsWorld->convexSweepTest (g_playerShape, start, end, callback);
+
+  if (callback.hasHit())
+    {
+      // we dropped a fraction of the height -> hit floor
+      g_playerPosition.setInterpolate3 (g_playerPosition, targetPosition, callback.m_closestHitFraction);
+    } else {
+      // we dropped the full height
+		
+      g_playerPosition = targetPosition;
+    }
+}
+*/
+
+// Check if the player currently collides with anything, and adjust
+// its position accordingly. Returns true if collisions were found.
+bool recoverFromPenetration()
+{
+  bool penetration = false;
+
+  // Update the collision pair cache
+  g_dispatcher->dispatchAllCollisionPairs(g_pairCache,
+                                          g_dynamicsWorld->getDispatchInfo(),
+                                          g_dispatcher);
+
+  g_playerPosition = g_playerObject->getWorldTransform().getOrigin();
+	
+  btScalar maxPen = 0.0;
+  for (int i = 0; i < g_pairCache->getNumOverlappingPairs(); i++)
+    {
+      manifoldArray.resize(0);
+
+      btBroadphasePair* collisionPair = &g_pairCache->getOverlappingPairArray()[i];
+      // Get the contact points
+      if (collisionPair->m_algorithm)
+        collisionPair->m_algorithm->getAllContactManifolds(manifoldArray);
+
+      // And handle them
+      for (int j=0;j<manifoldArray.size();j++)
+        {
+          btPersistentManifold* manifold = manifoldArray[j];
+          btScalar directionSign = manifold->getBody0() ==
+            g_playerObject ? btScalar(-1.0) : btScalar(1.0);
+
+          for (int p=0;p<manifold->getNumContacts();p++)
+            {
+              const btManifoldPoint &pt = manifold->getContactPoint(p);
+
+              if (pt.getDistance() < 0.0)
+                {
+                  // Pick out the maximum penetration normal and store
+                  // it
+                  if (pt.getDistance() < maxPen)
+                    {
+                      maxPen = pt.getDistance();
+                      g_touchingNormal = pt.m_normalWorldOnB * directionSign;//??
+
+                    }
+                  g_playerPosition += pt.m_normalWorldOnB * directionSign *
+                    pt.getDistance() * btScalar(0.2);
+
+                  penetration = true;
+                }
+            }
+        }
+    }
+
+  btTransform newTrans = g_playerObject->getWorldTransform();
+  newTrans.setOrigin(g_playerPosition);
+  g_playerObject->setWorldTransform(newTrans);
+
+  return penetration;
+}
+
+// Callback called at the end of each simulation cycle. This is the
+// main function is responsible for player movement.
+void playerStepCallback(btDynamicsWorld* dynamicsWorld, btScalar timeStep)
+{
+  // Before moving, recover from current penetrations
+
+  int numPenetrationLoops = 0;
+  g_touchingContact = false;
+  while (recoverFromPenetration())
+    {
+      numPenetrationLoops++;
+      g_touchingContact = true;
+
+      // Make sure we don't stay here indefinitely
+      if (numPenetrationLoops > 4)
+        break;
+    }
+
+  // Get the player position
+  btTransform xform;
+  xform = g_playerObject->getWorldTransform ();
+  g_playerPosition = xform.getOrigin();
+
+  // Next, do the walk.
+
+  // TODO: Walking direction should be set from D code, and the final
+  // position should be retrieved back from C++. The walking direction
+  // always reflects the intentional action of an agent (ie. the
+  // player or the AI), but the end result comes from collision and
+  // physics.
+
+  btVector3 walkStep = g_walkDirection * timeStep;
+
+  //stepUp();
+  stepForward(walkStep);
+  //stepDown(dt);
+
+  // Move the player (but keep rotation)
+  xform = g_playerObject->getWorldTransform ();
+  xform.setOrigin (g_playerPosition);
+  g_playerObject->setWorldTransform (xform);
+}
diff --git a/input/events.d b/input/events.d
index edd54af3e..7c5a33cd6 100644
--- a/input/events.d
+++ b/input/events.d
@@ -243,13 +243,18 @@ float musCumTime = 0;
 
 void initializeInput()
 {
-  // Move the camera in place
+  // Move the player into place. TODO: This isn't really input-related
+  // at all, and should be moved.
   with(playerData.position)
     {
-      cpp_moveCamera(position[0], position[1], position[2],
-		     rotation[0], rotation[1], rotation[2]);
+      // TODO: Think about renaming these functions to ogre_moveCamera
+      // and bullet_movePlayer etc.
+      cpp_moveCamera(position[0], position[1], position[2]);
+      cpp_setCameraRotation(rotation[0], rotation[1], rotation[2]);
 
-      // Insert a collision box close to the player
+      cpp_movePlayer(position[0], position[1], position[2]);
+
+      // Insert a collision shape close to the player
       cpp_insertBox(position[0], position[1]+500, position[2]);
       cpp_drawBox(position[0], position[1]+500, position[2]);
     }
@@ -299,12 +304,12 @@ extern(C) int d_frameStarted(float time)
   // The rest is ignored in pause mode
   if(pause) return 1;
 
-  const float moveSpeed = 900;
-  float speed = moveSpeed * time;
+  // Walking / floating speed, in points per second.
+  const float speed = 300;
 
   // Check if the movement keys are pressed
   float moveX = 0, moveY = 0, moveZ = 0;
-  float x, y, z;
+  float x, y, z, ox, oy, oz;
 
   if(isPressed(Keys.MoveLeft)) moveX -= speed;
   if(isPressed(Keys.MoveRight)) moveX += speed;
@@ -313,21 +318,34 @@ extern(C) int d_frameStarted(float time)
   if(isPressed(Keys.MoveUp)) moveY += speed;
   if(isPressed(Keys.MoveDown)) moveY -= speed;
 
-  // Move the player. This is a temporary hack, we should do this more
-  // efficiently in C++.
-  if(moveX != 0 || moveY !=0 || moveZ != 0)
-    {
-      cpp_moveCameraRel(moveX, moveY, moveZ);
-      cpp_getCameraPos(&x, &y, &z);
-      bool nw = cpp_movePlayerCollision(x, y, z, moveX, moveY, moveZ) != 0;
+  // This isn't very elegant, but it's simple and it works.
 
-      if(nw != collides)
-        {
-          if(nw) writefln("Entered shape");
-          else writefln("Left shape");
-          collides = nw;
-        }
-    }
+  // Get the current coordinates
+  cpp_getCameraPos(&ox, &oy, &oz);
+
+  // Move camera using relative coordinates. TODO: We won't really
+  // need to move the camera here (since it's moved below anyway), we
+  // only want the transformation from camera space to world
+  // space. This can likely be done more efficiently.
+  cpp_moveCameraRel(moveX, moveY, moveZ);
+
+  // Get the result
+  cpp_getCameraPos(&x, &y, &z);
+
+  // The result is the real movement direction, in world coordinates
+  moveX = x-ox;
+  moveY = y-oy;
+  moveZ = z-oz;
+
+  // Tell Bullet that this is where we want to go
+  cpp_setPlayerDir(moveX, moveY, moveZ);
+
+  // Perform a Bullet time step
+  cpp_timeStep(time);
+
+  // Get the final (actual) player position and update the camera
+  cpp_getPlayerPos(&x, &y, &z);
+  cpp_moveCamera(x,y,z);
 
   sndCumTime += time;
   if(sndCumTime > sndRefresh)
diff --git a/ogre/bindings.d b/ogre/bindings.d
index a53cebfc7..fb585492d 100644
--- a/ogre/bindings.d
+++ b/ogre/bindings.d
@@ -142,7 +142,8 @@ void cpp_screenshot(char *filename);
 
 // Camera control and information
 void cpp_rotateCamera(float x, float y);
-void cpp_moveCamera(float x, float y, float z, float r1, float r2, float r3);
+void cpp_moveCamera(float x, float y, float z);
+void cpp_setCameraRotation(float r1, float r2, float r3);
 void cpp_getCameraPos(float *x, float *y, float *z);
 void cpp_getCameraOrientation(float *fx, float *fy, float *fz, float *ux, float *uy, float *uz);
 void cpp_moveCameraRel(float x, float y, float z);
diff --git a/ogre/cpp_framelistener.cpp b/ogre/cpp_framelistener.cpp
index 5e043bfc9..1063ad9da 100644
--- a/ogre/cpp_framelistener.cpp
+++ b/ogre/cpp_framelistener.cpp
@@ -132,7 +132,8 @@ extern "C" void cpp_getCameraPos(float *x, float *y, float *z)
   *z = pos[1];
 }
 
-// Get current camera orientation
+// Get current camera orientation, in the form of 'front' and 'up'
+// vectors.
 extern "C" void cpp_getCameraOrientation(float *fx, float *fy, float *fz,
                                          float *ux, float *uy, float *uz)
 {
@@ -146,18 +147,21 @@ extern "C" void cpp_getCameraOrientation(float *fx, float *fy, float *fz,
   *uz = up[1];
 }
 
-// Move and rotate camera in place.
-extern "C" void cpp_moveCamera(float x, float y, float z,
-			       float r1, float r2, float r3)
+// Move camera
+extern "C" void cpp_moveCamera(float x, float y, float z)
 {
   // Transforms Morrowind coordinates to OGRE coordinates. The camera
   // is not affected by the rotation of the root node, so we must
   // transform this manually.
   mCamera->setPosition(Vector3(x,z,-y));
+}
 
-  // Rotation is probably not correct, but for now I have no reference
-  // point. Fix it later when we teleport from one cell to another, so
-  // we have something to compare against.
+// Rotate camera using Morrowind rotation specifiers
+extern "C" void cpp_setCameraRotation(float r1, float r2, float r3)
+{
+  // TODO: This translation is probably not correct, but for now I
+  // have no reference point. Fix it later when we teleport from one
+  // cell to another, so we have something to compare against.
 
   // Rotate around X axis
   Quaternion xr(Radian(-r1), Vector3::UNIT_X);
@@ -170,7 +174,7 @@ extern "C" void cpp_moveCamera(float x, float y, float z,
   mCamera->setOrientation(xr*yr*zr);
 }
 
-// Move camera relative to its own axis set
+// Move camera relative to its own axis set.
 extern "C" void cpp_moveCameraRel(float x, float y, float z)
 {
   mCamera->moveRelative(Vector3(x,y,z));