It means that you did not setup Lua libs properly. First of all add to your Main-class that code:
static {
System.out.println(System.getProperty("java.library.path"));
}
I'm absolutely sure there's no path to your luajava-1.1.dll\so
So here's 3 solutions:
1)Go to VM config (Run -> Run Configuration -> Arguments ->) and add to "VM arguments" the following -Djava.library.path="PATH_TO_YOUR_OWN/luajava-1.1;${env_var:PATH}"
2)Window -> Preferences -> Java -> Build Path -> User Libraries -> add library with your luajava-1.1.jar
-> edit "Native library location" to path to your luajava-1.1.dll
3)Add folder with luajava-1.1.dll
to your system variable PATH (or just move that lib to any folder already in PATH)