Re: Minecraft.jar problems
When you mention that you do not find a bin in the Minecraft archives, I see at least one thing wrong.
The minecraft.jar that you download from www.minecraft.net is just a launcher (Internet Explorer may incorrectly save it as minecraft.zip). Once you cd to the directory with that minecraft.jar launcher and run it with:
it creates a hidden .minecraft directory in your personal home dir (ie, ~/.minecraft) where it keeps all the working files for the game including a different ~/.minecraft/bin/minecraft.jar that is the actual current version of the game. Alway use the minecraft.jar launcher to start the game, NOT ~/.minecraft/bin/minecraft.jar.
java -Xmx1024M -Xms512M -cp minecraft.jar net.minecraft.LauncherFrame
To see hidden folders that begin with a dot, either hit Ctrl+H in the file viewer, or include -a in ls options (like: ls -al).
That is where you find the files that match names in a newer lwjgl.zip in .minecraft/bin/ and .minecraft/bin/natives/. If you want it to use more RAM (preferably 64-bit Linux) you could up the launcher to -Xmx2G -Xms1G, etc.
You do not necessarily need Oracle (formerly Sun) Java, it works fine with openjdk-6 or openjdk-7.
Still not sure how your cursor gets outside of the minecraft window and freezes your in game cursor. The only issue I have had with the original lwjgl 2.4.2 is occasional stuck movement keys.(W, A, S, D). The only way I can move the cursor outside of the minecraft window is if is if I am looking at my inventory (E), the gui of a device (chest, furnace, etc.), or Esc.
i5 650 3.2 GHz, 8 GB, nvidia GTX 550 Ti 32" 1080p | i7-4700, 8 GB, Intel HD 4600/nvidia GTX 765M 15.6" 1080p | etc.