Looks like I was pretty close, see his latest blog: http://guidohenkel.com/. Deathfire is going to be a first person step based party RPG. The only slight surprise is that it will be real time. However, Guido Henkel makes it pretty clear that it will be a strategic and story based game with lots of detailed stats and not a click fest like Grimrock.
I really hope it's not like Grimrock. I liked its puzzles but I definitely didn't like the combat.