Server is dead.
People will say it's because of resists, GM favoritism, RMT, etc, but that's not really the issue. Emulated PvP servers are really fun until there is an obvious winner of the server, and then they die out. This happens on pretty much every new PvP game and EQ in particular is bad as it is both an old game and a game with harsh death penalties. Once there is a clear winner, the losing guild quits because losing sucks, the battle just becomes more uphill, and the best way to 'fight back' is to let the victors rule over a ghost town.
Nihilum clearly won the server. I'm sure people can come up with a million excuses as to why this is the case, but it doesn't change the fact that it would require more effort to topple them than anyone is willing to give. I was rooting for my old pals from Heresy, but I don't think they would have beaten Nihilum even without the suspension. EQ is a game won with time/dedication and organization. Player skill helps, but there's such a low skill cap on the game that any skill gap is quickly closed (talking about group PvP here - far more tricks to learn in solo PvP). I mean you can only Crim Pot, Z-axis dodge, Golem Wand, Hide, Cure Pot, etc. one or two times before your opponent starts doing it too.
IMO, the best thing to do is wipe the server once there is a clear winner with no competition, but that won't happen with Project1999.