Zink has posted up a nice example of how to handle embedded resources in an ASP.NET 1.1 application.
I personally don't have to deal with this anymore, as all my apps are 2.0. It's nice having this functionality baked in. However, I know back in the Genesis days we went to quite a bit of work to get embedded resources working on 1.1.
Pay no attention to the fact that his screenshot is using Visual Studio 2005 :-)
Hopefully this helps someone out...