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Thanks! I hope you enjoy it as much as I enjoyed writing it!

There are two encounter types in the Encounter Design (pg45): Placed, and Wandering. Placed are much tougher encounters and tend to be fixed to locations. Wandering can happen anywhere. If you review the Encounter Modifier table you'll see what I mean.

To make it work for 2-3 players:

• Remove the Incoming Damage modifier (pg 28) and have all damage coming in unmodified 
• You only get 1 initiative roll, and not two (pg 27). Both players act on the same round
• CAROUSING (pg 35): Players can either roll individually, or pool their funds, but they have to share in the consequences.
• ENCOUNTER DESIGN (pg 45): Player Level (PL) becomes Average Player Level rounded to the nearest whole number. Base Strength is calculated by multiplying that by the Number of Players rather than just 2 (steps 1 and 2)
• TREASURE (page 53): Treasure Mod is based on the Average Player Level. 

Other than that, I think everything else will translate pretty well. Most of the mechanics and procedures should allow it to handle GM-less play pretty well, or GM'd if one of you wants to take the reigns. Good luck!