So you're fiddling with the Minicraft source, I see. The thing about Notch's code is that he substantially limited himself technically in this game. What the engine is doing is basically saying every sprite/tile can have 4 colors (from the grey-scaled spritesheet), he generates his own color palette that he retrieves colors from and sets accordingly during rendering. I can't remember exactly how many bits per channel he set and such.
However, you obviously are very new to programming and imo there's nothing better than fiddling with and analyzing other people's code.. that is, if you actually can do so. The Screen class is where the rendering takes place and hence it's what uses the spritesheet and therefore gives color accordingly to whatever tile you tell it to get. Markus is quite clever, despite poorly written code (which is completely forgiven as he did have 48 hours to make the damned thing ;))
if you want to just display the spritesheet as is, you can either rewrite the render function or overload it to something like this... (in class Screen)
public void render() {
for(int y = 0; y < h; y++) {
if(y >= sheet.h) continue; //prevent going out of bounds on y-axis
for(int x = 0; x < w; x++) {
if(x >= sheet.w) continue; //prevent going out of bounds on x-axis
pixels[x + y * w] = sheet.pixels[x + y * sheet.w];
}
}
}
This will just put whatever of the sheet it can fit into the screen for rendering (it's a really simple piece of code, but should work), the next step will be copying the pixels over to the actual raster for display, which I'm sure you can handle. (If you have copy-pasted all of the minicraft source code or some other slightly modified source code, you might want to change some things about that as well.)
All the cheers!