4. Animations
You select the material (not the texture) in CC and then open the curve editor. There, the three options at the bottom are those you want to use. Now, select one (x or y in the three). Press S, insert 0 and 0 where the coordinates are on top of the course editor. Now select the dot you just created, press S again and this time insert 60 on the left window and 1 on the right coordinates window . If you want the animation to be slower, replace the 60 with a higher number (like 300). Repeat this for every material and for X or/and Y. Now, close the curve editor and you will see a new file in CC, normaly named something with animation . There select the textures used for your animated materials and change the number of frames to that one you inserted in curve editor, so 60 (or in this example 300) and check the loop animation
You are now done! Now just insert the file into your romfs folder and rebuild!
If this guide for KMP editing is confusing for you, try
http://www.dshack.org/forum.php?page=thr