Some useful Links:
1) MercurialFAQ:
http://code.google.com/p/support/wiki/MercurialFAQ
2) Convert your project from Subversion to Mercurial:
http://code.google.com/p/support/wiki/ConvertingSvnToHg
3) Google Code and Mercurial Tutorial for Eclipse Users - very brief,
but with video and links:
http://blogs.intland.com/main/entry/39
4) Google announcement of Mercurial support on Google Code:
http://googlecode.blogspot.com/2009/04/mercurial-support-for-project-hosting.html
My opinion is that we should go for Mercurial, the main question is
how to do this with minimum risks/resources...