The Skyblivion project seems to be steadily coming along.
TESRenewel has posted a video update showing its progress bringing Oblivion into Skyrim. This new look at the project shows updated NPC and other characters which will be familiar to those who played The Elder Scrolls 4.
Obviously, since this a work-in-progress, what you see above will be given some more polish before being released.
Skyblivion started in March 2013 and is still in development build v0.2, but the more people who contribute to development, the faster it will be finished. If you think you can help out, hit up this link.
The team also needs help with Skywind, so if you can, be sure to hit up the previous link.
Upon release, Skyblivion will include all of Oblivion’s DLC and the plan at the moment is to also release it for the Skyrim Special Edition at some point.