The fate of 3D Realms is in serious doubt as the independent developer – best known for its work on the Duke Nukem series – is reportedly closing its doors and removing its staff.

Multiple sources have suggested that the developer, founded over two decades ago, will fully close down by the end of the week.

News of the studio closure first appeared on Shacknews, where financial issues were cited as a precursor to the developer’s closure.

Shortly afterwards, Take-Two released a statement declaring that its relationship with 3D Realms for the release of Duke Nukem Forever – a game now comically renowned for its twelve-year development cycle – was a “publishing arrangement, which did not include ongoing funds for development of the title.”

The company added that it retains the publishing rights to Duke Nukem Forever.

Meanwhile, a 3D Realms webmaster had posted confirmation on the studio’s forum, stating that news of the closure is "not a marketing thing. It's true.”

Early reports suggested that Apogee Software, a publishing and production company which was recently re-established by 3D Realms, would also have to close down. Since then, however, Apogee has confirmed that it is “not affected by the situation at 3D Realms."

"Development on the Duke Nukem Trilogy is continuing as planned," the group added.