As previously rumored, Bethesda Softworks is indeed publishing a new RPG from developer inXile Entertainment, the development studio founded by former Interplay head man Brian Fargo. The game is a fantasy-themed title called Hunted: The Demon's Forge and it will be a third person game with a co-op bent.

Using Unreal Engine 3 as its graphical basis, the game's storyline has its fantasy world invaded by creatures who are taking villiages away. It's up to the two player characters, the mercenaries E'lara, (who liked ranged weapons) and Caddoc, (a master with the sword) to take on the horde of monsters. There are also magic spells in the game that will boost player skills. So far there is no release date announced for the game.