This was posted 3 days ago on 1up.com, I'm sure there are more Elder Scrolls fans out there than just me, read this!

It's been nearly five years since Bethesda released The Elder Scrolls IV: Oblivion, so when will fans finally see a sequel? Pretty soon, if a new rumor turns out to be true. Eurogamer's Denmark arm reports that a source informed them The Elder Scrolls V is currently in development, and will be a direct continuation of the events in Oblivion.

As Eurogamer Denmark's report states (translated into English), "this source not only confirmed that the game is in current production, but also spoke briefly about the content -- with fantasy-sounding phrases like Dragon Lord, something with The Blades." The report says this source had "official game documents in hand" to prove all this, and that yes, this will be "the chronological sequel to what happened in The Elder Scrolls IV: Oblivion."

There's been a lot of odd back-and-forth about a potential Oblivion sequel in the past couple of years. Back in 2009, Bethesda's Todd Howard said they were currently working on their "next big game," but also said it was not The Elder Scrolls V, and that there were "no current plans" to make it. However, later that year, a blurb for a novel set in the Elder Scrolls universe described it as "[bridging] the gap for the next game, which is set 200 years after the Oblivion crisis."

Still, both of those stories are over a year old by now, so who knows where Bethesda stands on The Elder Scrolls V at this point. When more info on this supposed sequel pops up, we'll pass it on.

I'm very excited if these rumors turn out to be true, me and many others have been waiting for a sequel for a long time now.  I have no doubt in my mind that when the sequel comes out, it will get game of the year no problem

source: http://www.1up.com/news/rumor-elder-scrolls-v-development

I have great news, about a week ago, not only did Bethesda confirm that this rumor is true, but they also confirmed they are not using the same game engine (Gamebryo) they used in Morrowind, Oblivion, and Fallout 3.  So it will be very interesting to see how great they do in the next game with the new engine.  What engine they are going to use has not yet been announced, they just said it is an "all new engine"

Oh my, good news I really hope it comes out soon as Oblivion is epic game!

its official it will come out. The Elder Scrolls V - Scrim. it will be released 11,11,2011

Unfortunately in early stages of development they cannot really guarantee an exact release date because anything can happen between now and then.  No big deal, it's just that delays can happen D:

Anyways, yeah it will definitely be interesting to see how great the new game engine is for Skyrim!  I hope this game will be as mind blowing as Morrowind was content-wise.