Blu-ray 1080p must be sent by HDMI (component will carry 1080p, but I think it isn't allowed by Blu-ray specs).
However, it seems the smart thing do do would be to make the long run with HDMI, in case you someday upgrade to a 1080p projector. Supposedly, you can make very long runs (>100 feet) with good quality HDMI cables, even though most/all cables are technically certified for much shorter runs.
Regarding video quality, it seems that you will get your best results by sending your PJ video at its native resolution, in this case 720p.
You will need to figure wether the Oppo or the Integra does this better.