Prey 2 is a game we've not heard wind of for some time, and that's shame because it was looking absolutely brilliant. However, Human Head have reiterated tht the game has not been "officially cancelled", stating that at this point in time it's "in limbo".
“By the way, Prey 2 hasn’t been officially canceled, only in limbo,” Human Head designer Nathan Cheever tweeted. He later went on to state that the news was “nothing new”, noting that Bethesda had previously confirmed that Prey 2 was “on hold” for “quality reasons”.
Frankly, regarding that game, anything that hints towards a hopeful re-emergence in the future is worth a little toot of the horn.
Here's what Bethesda had said previously:
“Development of Prey 2 has not been cancelled but the game will not be released in 2012 as planned," quoth Bethesda in a recent statement. "The delay is due to the fact that game development has not progressed satisfactorily this past year, and the game does not currently meet our quality standards. Prey 2 has shown great promise and we regret disappointing our fans."
“We have made a substantial investment in game development to deliver the experience fans want. We are determined only to release the AAA game that fans rightfully expect, and are unwilling to compromise our quality standards to meet a release schedule.”
However, reports of unrest between Bethesda and Human Head suggested that no work had been done since November 2011 due to a contract dispute, with Human Head then announcing possible plans to return to their Rune series.