First some background on who the source of this story is since I doubt many are familiar with him
Ryszard Chojnowski is a Polish localization expert. In 1996, he collaborated with CD Projekt RED and later worked on Polish localizations for major companies such as Blizzard, Ubisoft, Electronic Arts, and Epic Games. He has contributed to the localization of titles including Diablo II, Baldur's Gate, BioShock, Fortnite, and many others.
Now on to the story itself
Chojnowski claims to have heard the rumor a couple of months ago. He did not believe it at first, but there have been more whispers about it recently. This should be the third-person The Lord of the Rings action game that was first unveiled by Insider Gaming back in September 2025. According to that report, the project was partially funded by the Abu Dhabi Investment Office (ADIO) with around $100 million. Its goal is apparently to compete directly with the likes of Hogwarts Legacy, which was the best-selling game in 2023, and multiple studios are said to be involved in its development.
In truth, Internet sleuths had already discovered earlier this year that Warhorse might be working on a separate project beyond the inevitable Kingdom Come: Deliverance 3. There are job postings seeking experience with Unreal Engine, and the studio's historical RPG series is notoriously powered by CryEngine.
UE part makes me sad given how amazingly optimized KCD2 was. But this project would be a big deal if it's real.