Australian based games developer Nnooo has released the second in a series of developer diaries showcasing Spirit Hunters Inc™, their next game for Nintendo DSiWare™ (video available on youtube or for direct download).

Spirit Hunters Inc is a social role playing game in which the player hunts, battles and captures spirits which inhabit our world. The game uses the front facing camera of the Nintendo DSi™ to create an augmented reality, merging computer generated spirits with the player’s real environment where the battles take place.

“The development of the game is really taking shape and we are delighted to be able to show the battle mode which will represent a large part of the player’s in-game experience”, said Nic Watt, Creative Director at Nnooo. “Now that we have some of the sound effects and player abilities in place, we are able to give a much better feel for what it’s like battling against the spirits.”

The player is part of an international task-force called Spirit Hunters Inc which is charged with capturing mischievous spirits and sending them back to the spirit world. Players will have to hunt down these spirits and coax them out of their hiding places before doing battle with them through their Nintendo DSi. On capturing spirits, players will be rewarded with experience points and in-game currency with which they will be able to level up, replenish health, buy useful spirit hunting items and traps and learn new battling abilities.

“We are very excited about how the game is developing”, said Watt. “Augmented Reality is a really exciting new area for games and we think that Spirit Hunters Inc is really making use of all of the Nintendo DSi’s features. We are also planning a version for the Nintendo 3DS™. More details about this will be revealed in the future.”

Spirit Hunters Inc is scheduled for release on Nintendo DSiWare later this year.