Obsidian's XBLA Project is on Hold

Some of you may remember that in an older interview Obsidian's CEO Feargus Urquhart talked about the company's plans to release a smaller-sized XBLA action-RPG "focused on fun". Many of us by this point suspected the project had been canceled, and in light of the recent news of Joystiq inquired about this with Urquhart who confirmed that the project is on hold, at least for now:
Checking in with Urguhart about the project, we were told, "That project is currently on hold; we are looking at where we might want to take it."