Just announced on CodePlex, Project Server 2007 VSTS Connector (no releases yet though :-().
MS Project and Project Server integration, is an area where (to be polite) the integration leaves a lot to be desired. It is an area which is recurrently asked by customers (in which we can hardly give good answers). Let's hope this connector will bridge this gap, a project to keep an eye.
This seems to be based on Avanade's Project Server 2003 Connector (never tried, gave up when saw the documentation. Didn't seemed to be simple to install or manage). This version on codeplex already has some documentation and screenshots and it seems to have an easy installer. :-)