Outerlight, the former developer of The Ship, closed down soon after it developed an XBLA game in what is thought to be a thorny partnership with Ubisoft.
But a new Scotland studio has acquired the game's rights and is working on a full sequel, a person familiar with the matter told CVG. A full reveal is expected in the coming months.
The Ship, which was one of the first third-party titles released on Valve's Steam platform, was set on a 1920s recreational cruise ship. The multiplayer title gave each player a different target to secretly assassinate, while also making each one a target for another player. The set-up resulted in a unique cats-and-mice gameplay dynamic.
News of development of the game's sequel comes after a government-associated report claimed that the Scottish games industry hires less than 200 people and does not turn a profit. Industry groups have laughed off the report.