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Do you mean a G3 500? As in a Powerbook G3 500 (Firewire)? If so, then I can tell you that I run 10.2 on a Powerbook G3 400 with 768 MB RAM and I have no complaints. Obviously 9 is a bit faster overall, but the speed of X on this machine is acceptable by my standards so i would say go for it.
One tip: you can increase the speed a bit by turning the monitor resolution to thousands rather than millions of colors...