As some of you may have heard, Zeno Clash, created by the ACE Team is a new commercial game built on the Source engine. Set in what is being called a "punk fantasy" world, Zeno Clash promises to give "up close and brutal combat in a first-person perspective". The game is set for release sometime in 2008.

We just got the following news from the team: "The development of the game is coming along nicely. We’re close to reaching Alpha status. The game is looking great, but we’re still working around some rough corners & adding more depth to the combat mechanics. We already have two boss sequences working; one that is built around shooting “things” that parachute (we don’t want to tell too much still) and the other fighting against heavy characters using bashing weapons. They’re both really fun to play and the new mechanics will add more variety to the gameplay. The next trailer video will display some of these new features, but we’re still waiting for a higher level of polishment before we show them. So stay tuned for future updates!"

Some new screenies:



More to come...