So you'll be facing Ozma soon, congrats! I assume you're going to beat Necron with a level 1 party (not everyone, but you can get at least four characters still at level 1). As a few here have said I've been inspired to play this and am on disk 2. I'm at the point where Steiner and Marcus break out, and am figuring out the setup needed to drive Alexandrian soldiers away. The best setup I have is Steiner with man eater and a mythril sword but it seems to do irregular damage so I'm not sure if it works (it did 450 the first hit sending one away but only 400 to the other leaving me screwed). I must say this is a very enjoyable challenge!
Actually, you are not screwed, so long as you have mastered minus strike. If the enemy doesnt run away the first time, wait for an enemy to attack you (but make sure the attack isn't blizzara) and then use minus strike. It should be enough to force them to run. Congrats though, you are about a half an hour away from the most intense (and fun) part of the challenge, escaping Alexandria.

I'd like to finish the game and take on Necron, but I'm not sure if I'm going to. I do know that as soon as I beat Ozma I am going to attempt an FF8 challenge. I may come back to FFIX and finish Necron at a later date, though.

Edit: Front row with Blood Sword and no man eater works well. There will still be times however, when you must use minus strike. Also, it is possible, albeit difficult, to run past the alexandrian gaurds.