New onto the development scene are ACE Team, a Chilean outfit that will be using Valve's Source engine to bring gamers a new first-person action title.

According to ACE Team, Zeno Clash is going to be a first-person melee combat game and will be set in a "punk fantasy" world where the main character, Ghat, journeys across a forbidden desert after being banished by his brothers.

The game, which will be out next year, will be the product of developers who have worked for both PC and Xbox Live Arcade platforms.

"Working with Source gives us the features, tools, and flexibility we need in an engine to bring to life a game world beyond anything seen before," commented Andres Bordeu, game designer with ACE Team.