Well, as stated, I haven't heard from Raz lately ... but it's still a go, as far as I know. We were making really good progress toward an overall political simulator for the world at the time, when all this version confusion started and Raz decided to wait and see what happened. So unless otherwise announced, assume that plans are for continued work on "Holy War".
Speaking of that, I'm going to have to convert the RCM for HW to the post-.890 standards. Crud. I just remembered that. That's about 20 hours of work that I'm not looking forward to. Plus it needs about a thousand LOD's on all the weapons and armor ... the last version was for .808, which was before the LOD options. That's about a thousand hours of utterly tedious work that I'm not sure I volunteered for.
Anyway, for practical purposes, assume the team is standing by ... as soon as we have all the tools we need (the module system, make sure BRFEdit is up-to-date, whatever), the project should resume.