The Sword & Sworcery developer's mysterious new game offered a first look trailer at Microsoft's E3 conference.
It will arrive on Xbox One, although no other details have been announced.
"What lies below?" asks the trailer.
It shows a figure exploring a mysterious island and entering into a deep cave filled with monsters.
Sword & Sworcery and Indie Game: The Movie's Jim Guthrie has provided the soundtrack to Below.
The artistic design of the game is very similar to its predecessor.
Below was announced at Microsoft's E3 press conference, alongside Xbox One pricing and release information.
A new Halo title was also unveiled, as well as Dead Rising 3, Ryse, Titanfall and Project Spark.
The company also unveiled a brand new slimmer, quieter Xbox 360 and revealed plans to ditch Microsoft Points.
Gallery - Xbox One confirmed games: