Source: Half-Life: Nightwatch
Just in case you haven't been following the forums, Nightwatch is undergoing a restructuring effort in order to compensate for some personnel losses. There'll be more news on this in the near future, but rest assured that rumours of the mod being dead are greatly exaggerated. Some significant work is getting done behind the scenes, including some design/orientation changes that we think fans of the mod will appreciate. Stay tuned for more information.