I have no overclocking experiences in macs, but as you can see, I managed to overclock a P4 1,6 to 2,6Ghz. This is 62%. I didn't add any additional cooling and the system is working for more than 2 years almost by now. Maybe the processor was actually a regular 2,6 which got a lower multiplicator. I really don't know. However, in those days, there were 2,6Ghz P4 out as well. I think it's a difference to buy highend model and overclock that one. Such CPUs tend to be pretty much at the max possible clock. That's why the Dual 1,67GHz really surprised me.
Anyway, isn't there any slowdown for Motorola CPUs, once the temp is going too high? Just to prevent serious damanges from the heat.. Don't want the lifetime of my G4 1Ghz to be dependant on the small fan in here.