I'd recommend The Protomen and Metroid Metal. The former doesn't directly cover songs from the Megaman games, but they're still an amazing band that should be seen to be believed. The latter, well... covers Metroid music in convenient metal form, and they have some of the best Metroid covers you can find. Here's their websites:
http://www.protomen.com/
http://www.metroidmetal.com/
Harkinian & The Bois
The Adventures Of Duane And Brando . They do awesome rap covers of VGM music. Unfortunately they split up.
I can't stop listening to this
Collars gonna Coll
Not quite sure if I Fight Dragons counts, but I downloaded their EP, and found it enjoyable.
Newgrounds Audio is full of VGM covers, although most are not from bands but from individuals.
No regret shall pass over the threshold!
ALMSIVI
Duane and Brando are fun.
Also, when I first saw this thread, my thought was, "What, there are more bands like HORSE the Band now? What the hell?"
Also, The Protomen should fit your criteria, and they're super awesome.
edited 13th Oct '10 7:40:52 PM by LuckyRevenant
"I can't imagine what Hell will have in store, but I know when I'm there, I won't wander anymore."
I've already seen Duane And Brando. Sorry for not saying so. Just checked out The Protomen... wow.
Looking for some VGM bands. Preferably with lyrics, they should probably be about games I know: Lo Z, Megaman, Mario, Final Fantasy etc. I already listen to The Megas, brentalfloss, and The Black Mages.