After much rumour, deliberation, legal wrangling and all sorts of other fun, it’s now been confirmed that two films based on The Hobbit are going ahead. And while, as expected, Peter Jackson will not be directing them, there seems little reason to fear MGM’s choice: it’s Guillermo Del Toro.

Del Toro, who is just putting the finishing touches to Hellboy 2 at the moment, had been one of a few directors linked with the job (including, at one point, Spider-man’s Sam Raimi). After Pan's Labyrinth though, few are going to question the choice.

Peter Jackson is set to produce the films, along with his wife, Fran Walsh.

We know that both Ian McKellen is interested in playing Gandalf again, and Andy Serkis all but told us that he’s keen to reprise his role as Gollum.

The two films will be shot back-to-back in New Zealand, and are scheduled for release in 2010 and 2011.

Wa-hey!