Since the problem started, I had shared a couple of entries from the blog in the past few months. However, before sharing them I'd would go to the entry and re-upload the photos. This was my work around.
Tonight I was doing the exact same thing again when I noticed it gave me an option to choose photos from a Picasa album (which I did not know that I had). When I found the album, I noticed that it was "locked". Yes, it was set to private. Then I logged in to the Picasa account (again I had no Idea I had the pictures there), I reset the settings and VIOLA, problem solved.