Silicon Knights' Denis Dyack recently spoke on the possibility for a sequel to the 2002 GameCube hit, Eternal Darkness.
Speaking to TVG, he commented on hopes for a follow-up title and expressed the company's fondness for their past efforts/franchises.
There is a chance; we love all the games we work on. We don't want to be pigeon-holed [into a genre], we want to be known for strong content...There's a strong chance we'll return to it, but there's no announcements yet.
On an even more positive/definitive note, he revealed on his IGN Blog:
I am most often asked if we have sequels in mind for Eternal Darkness. The answer is absolutely yes. Although this may not be obvious to those outside of Silicon Knights, anyone inside the guild understands that there is really no other answer.
Eternal Darkness: Sanity's Requiem was a surprise hit on the GameCube, before Silicon departed as a second party for Nintendo.