You read that headline correctly – WaterMelon Corp., known for Pier Solar and the Great Architects, have been working on a new action game for the Sega Genesis/Mega Drive.

Featured above, the first gameplay footage for their new game, tentatively titled “Project Y,” has been shown off for the first time. The game is seemingly booting off the 25 year old hardware, which might also be why the game is running offscreen.

The game is a post-apocalyptic beat ’em up RPG, set in a cyberpunk environment. Project Y also features story elements, and borrows heavy influences from Streets of Rage and Final Fight.” The game’s official website describes the world as a post nuclear war landscape, where the survivors of earth are split into several classes, with the powerful having the less fortunate “by the balls.” Governing parties have coalesced into ethnic mafias and corrupt corporations, to name a few examples.

The game is ambitious, so ambitious in fact that it will ship on a 40 megabit cartridge, the second largest Sega Genesis game ever, the only other game topping it being Watermelon’s other throwback game, Pier Solar and the Great Architects.

We’ll keep you guys posted.