The plugin here is outdated and does not load with 1.2.5, anyone have an updated one? The one that is posted for 1.2.5 makes obsidian weaker than dirt and is therefore not suitable.
Try this: https://github.com/squidicuzz/ObsidianDestroyer It allows you to set a Durability on the obsidian, so you can make it take say 5 shots for it break. Check out the config! I'm trying to revive it, but am getting no responses... http://forums.bukkit.org/threads/republishing-an-abandoned-plugin-obsidian-destroyer.75425/