PETER Jackson has confirmed he'll add a third film to what was planned to be the two-part series The Hobbit.
The director of the Oscar-winning The Lord of the Rings movies announced on his Facebook page that after viewing a cut of the first film and part of the second that there was room for a third.
Jackson said that a lot of JRR Tolkien's tale of Bilbo Baggins would remain untold if a third film wasn't made.
The films are set in the fictional world of Middle Earth 60 years before The Lord of the Rings.
"We recognised that the richness of the story of The Hobbit, as well as some of the related material in the appendices of The Lord of the Rings, gave rise to a simple question: do we tell more of the tale?" Jackson said in a statement.
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