Variety had this,

Del Toro has not determined the start of principal photography, but then, he has a lot of balls in the air. Futuristic thriller "Killing on Carnival Row" is set up at New Line, with Arnold and Anne Kopleson producing through Kopelson Entertainment. A screenplay has been delivered, said Del Toro, but with no budget nor cast, project has still to be greenlit. Other majors are reviewing "Hellboy II," which was at Revolution Studios, as Sony has bowed out.

With the courting of the studios to do projects like Halo, which did not come to fruition, and other major projects, Del Toro has become a hot commodity and Hellboy has gone into a limbo like state sitting more on the back burner these days. With Sony backing out it remains to be seen who, if anyone, will pick this one up.