It should work...I used a G3 PowerBook disk in a G3 PowerMac. There could be complications...depending on what kind of G3 it is, it may cause problems (older hardware, legacy modem & ports etc)
Couldn't dig anything up on google.
If you want to upgrade it, BACK UP YOUR DATA. Don't upgrade without backing up your good stuff. Ever. Even if there was no risk involved.
Have phun with your Mac!