You should read more carefully what's written. For the final compression you can use AVISynth, but you mustn't. VirtualDub(Mod) is enough if no postprocessing is required, only resizing. The only thing you should take care of is to select Lanczos3 as method.
None of the Export-Presets of Premiere does fit an AMV-Maker needs. You should really give the guides a shot, in this case the section for Exporting your video from Premiere Pro.
