How to Blend Images + PSP8
First, open up Paint Shop Pro 8 (Seven works just as well).
Next, open this image into it and beside that, open up a new image (or your background, for this I used a new image). Size it at 300x300 and use the Fill background color tool and make that navy.
Now, using the Freehand Selector,
Make a circle over Aragorn's head.

Press Ctrl+H or go to Selections>Modify>Feather. Change this to anywhere between 25-40 and hit OK. I selected 27. Now, move over to the other image you made at the begining. Make a new Raster layer. The first layer should be for the background color and the second raster will be for your blending.
Move back over to your Aragorn image. Copy this (Ctrl+C) and then in your new image, paste it. In a corner is fine. Now it is a floating selection inside Raster Two.

Now, do not deselect the Floating selection. Merely click where it says 'Raster Two'.
Now, go to Layers>Properties. Here you will see "Opacity" and then a number (probably 100). Change this number to somewhere between 65-80 depending on how transparent you want Aragorn to be. Press OK and then Ctrl+D. You should see Aragorn blended into the background. If you do not like how Aragorn turned out, you can always press Ctrl+Z two times and try again. =D
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