Canadian TV ran a story a couple of weeks ago about this game. They kept repeating the phrase "funded by government". Anyways, I hope this turns out to be a great adventure game.

 "...Hothead calls the game a mixture of the adventure aspects from a game like his own The Secret of Monkey Island with the combat and role-playing of a Diablo, and seeing it now, that's almost exactly how I'd describe it..."  

Oh man, I can`t wait. This game looks pretty sick with the art style. 
Hope the GB crew does some kind of coverage of this game at PAX, especially since there still ain`t a whole lot of info on the actual gameplay out there.