For those of you who dont know who surfer girl is. Shes been reporting game rumors for a while now and she's been right a lot of times. This is old but a while ago Surfer girl confirmed the existence of beyond good and evil 2!!!

http://softrockhallelujah.blogspot.com/2007/11/november-first-things.html

I recently asked her when Ubisoft would announce the game and she said this year. It is likely that the game will be announced at E3 or at another timepossibly. Either way great news!

The following has been taken from a variety of blogs i found on gamespot

After a cracking opening came the music of Metal Gear Solid. It started with the memorable theme before breaking into the intense alarm music, with a guard prowling across the stage looking for 'Snake', who was hiding in a cardboard box. And yes, the guard did have an exclamation mark above his head. The funniest moment of the night. Next came the fantastic score from the underappreciated Beyond Good and Evil. After it finished the cardboard box shuffled across stage, and lifted up to reveal it was none other than Tommy Tallarico - the only one short enough to fit in there! Michel Ancel then came on stage with Christophe Heral and Tallarico posed the question all BG&E fans wanted to know - will there be a sequel? After much umming and aahing Ancel admitted he would like to work on a sequel, so here's hoping. Ancel and Heral then sang a quick number and were given a massive round of applause by the audience.

And another

They also had some guests come up on stage, including Michel Ancel, the creator/designer of Beyond Good and Evil, who wouldn't commit to a sequel to the game, but all the same made the possibility sound quite positive... "Me and Christophe (Christophe Heral, composer of BG&E) are working together to see if this could be possible...so maybe."

Seems he hasn't confirmed anything but still its better than nothing. And thanks to SilentHillfanx for bringing this to my attention.

And if any of you find a video of the event drop me a message.

[UPDATE] The video of them talking can be found here

http://www.youtube.com/watch?v=_F04LVvrcWk&mode=related&search=

http://jumpbuttonmag.com/?p=25

This article was published back in July. But since there haven't been any news for a while i thought i'd post something