I like Lua very much, and in my mind, if the stars had been aligned just a little differently, it would now occupy the space inhabited by Javascript.
I cannot help but wonder, tough: A Lua VM implemented in Javascript? Is the performance hit not enough to make this useless for anything beyond proof-of-concept-sites/apps?
A Lua to Javascript compiler would have made sense. Given all the languages you can compile to Javascript these days, it would have made sense. And in terms of semantics, both languages are close enough that I think it would not be that big a problem.
Still, it is an impressive piece of work. Implementing a bytecode VM a) in Javascript, b) running in the browser must make debugging rather ... interesting.