Square Enix has reached out to the press to deny the recent reports suggesting that development of Final Fantasy Versus XIII has stalled, with the project dead in the water and possibly even canceled. This rumor has since been debunked.

The studio's CEO Yoichi Wada posted a lengthy comment on Twitter in Japanese, which reads as follows:

"It seems that some guy is playing a hoax by suggesting that (Final Fantasy) Versus XIII has been canceled. I just got done with one of our regular development meetings on Versus." Wada-san concluded up his comment by saying that the quality of the Versus XIII cityscape which was presented at the meeting would make your jaw drop.

In other words, it's full steam ahead for the development of Versus XIII.

However, whether the game will be released on the current generation of consoles or be a part of the next-generation remains to be seen.

Square Enix has plans to unveil the future of XIII and Versus XIII at an event set to take place this September, which celebrates the Final Fantasy series' 25th anniversary.

Details about the series will be revealed at the “Final Fantasy XIII Lightning’s Saga – New Developments Presentation.” Yoshinori Kitase, Motomu Toriyama, Isamu Kamikokuryou and other staff from the team will be in attendance to present their plans for the franchise.

The event will presumably explain how Lightning's story ties in with the events in Versus XIII.