Avalanche Studios will not be releasing Just Cause 3 in 2012, studio founder Christofer Sundberg has told Eurogamer.

The news follows a rumour that the game is well under way and set to hit stores next year.

However, Sundberg says we won't see any new titles from Avalanche in 2012.

"It's just a rumour and we're not releasing any game in 2012," he said.

In fact, Just Cause 3 is yet to be announced, with the studio telling VideoGamer.com earlier this year that the franchise is in the hands of publisher Square Enix.

Square Enix already has a strong line-up for 2012, with Final Fantasy XIII-2, Hitman: Absolution and Tomb Raider all set to launch. Just Cause 3 could end up as one of the publisher's major titles for 2013.