Square Enix is reportedly negotiating to open a second studio in Canada in addition to Eidos Montreal.
According to lapressaffaires, the new studio would employ at least 100 staff.
Three cities are under consideration: Vancouver, Toronto and Montreal.
Square Enix is said to be negotiating with Quebec officials on the subject of direct subsidies, which have previously been granted to THQ and Warner Bros., in addition to province-wide incentives.
Other cities under consideration included Raleigh, North Carolina; Atlanta, Georgia; and Orlando, Florida.
The studio’s location is due to be determined by May, will doors opening in 2012.
Square Enix has had a presence in Canada since the acquisition of Eidos and its Montreal studio, currently polishing off Deus Ex: Human Revolution.