Great! I've found this link
http://bonsai.ims.u-tokyo.ac.jp/~mdehoon/software/python/cygwin.html
it has libpython23.def and libpython23.a all set and ready to go.
Thanks anyway! Hope I could help someone.
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Arrr after a small change in my google search, I have found this
tutorial:
http://www.mingw.org/MinGWiki/index.php/Python%20extensions
and it went ok (or at least seemed ok) until the last stage:
when I got this error:
C:\Documents and Settings\Yair Eshel\Desktop>dlltool --dllname
python23.dll -