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It might not be game over for Lionhead’s Fable Legends after all.

Three sources at the Xbox studio – which Microsoft announced it would close last month – have told MCV that discussions are on-going about saving the free-to-play RPG.

There are currently no offers for either the game or the studio, but staff are being surveyed as to whether they would like to continue working on Legends, or just accept the redundancy package that has been put before them and leave at the end of April. This is part of the consultation process Microsoft is conducting.

The majority of the freelancers working on Fable Legends have already left the studio, but those on contracts are still employed by the developer (even though many have been offered work at other companies).

One of the sources told MCV that this stems from a proposal from certain Lionhead employees about taking Fable Legends and continuing development as an independent studio. Our other two sources were unable to verify this claim, however.

A Microsoft spokesperson told MCV: We aren’t sharing additional details beyond that we have ceased development on Fable Legends, and are in discussions with employees at Lionhead about our proposed closure of the studio as well.”