Electronic Arts has confirmed that it has closed Dead Space contributor Visceral Melbourne, as the studio currently has no active projects to undertake.

Reports last week suggested that Visceral Melbourne, sister studio of Redwood Shores-headquartered Visceral, would be closed this week, following the cancellation of a major project that had been in development for three years.

EA has now confirmed with news site MCV that Visceral Games has indeed be closed down, with staff given the option to find roles elsewhere at the company.

"With no active project in development at that location, we’ve decided to close the Visceral Melbourne office," said an EA spokesperson.

"They are talented individuals and may find other roles elsewhere in EA, if they choose. EA continues to maintain its mobile studios in Melbourne which are both thriving and hiring."

Dead Space 2 was released at the start of the year, and received critical acclaim from the press.