Wallace, who was nominated for an Academy Award for scripting "Braveheart," for which Gibson received the 1995 Best Picture Oscar, confirmed the rumors, saying "the project is becoming too difficult to keep under wraps."
Wallace said, "I always wanted to tell this story [...] The Passion is the beginning and there's a lot more story to tell."
Meanwhile, the Hollywood Reporter said a representative for Gibson declined to comment on his level of involvement in the sequel.
"The Passion" was released in 2004 by independent Newmarket Films and earned a huge $612 million worldwide on a production budget of $30 million. "Since then, many in Hollywood have presumed a sequel would someday be made, but Gibson has moved on to other projects."
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