This is one of those times where I really wish game outlets would properly archive the original, untranslated responses for interviews with Japanese creators. I get why it's not a common practice since reporters who aren't bilingual would have to probably pay for a third party to transcribe the original Japanese, but it would solve a hell of a lot of semantic headaches that arise when you only have the final translation to work with. Someone like me would be able to look at that source text and tell you in five seconds just what sort of nuance was implied in the original response that a translation might not entirely convey.
As it is, whoever was the translator for the Gaming Bolt interview seems to have played it pretty straight and literal sounding, which can provide clues as to what was probably said in Japanese. If that's the case, I'd agree with the consensus that it sounds like Swery is merely referring to the fact that he at least worked on a sequel at some point in the past, but isn't necessarily doing so right at this moment. Was it cancelled? Was work halted? It may not necessarily be the former if he's able to mention it so casually because that would likely break publisher agreements of some sort if, say, Marvellous, the Japanese publisher of the first game, owns the IP to the series in general. But on the other hand, even if he himself owns that IP somehow, the fact that he can mention that work on a sequel so nonchalantly may indicate that he just didn't get that much done. It's hard to say; my words are just as much conjecture as everyone else's, but that's probably the most solid theory to go on. He's pretty outspoken on Twitter though; maybe if somebody were to ping him, he'd be willing to clarify if anybody is that curious.