After all the controversy between New Line and Peter Jackson, they may have finally mended their fences and made way for PJ to do what he was born to do: Direct a movie version of The Hobbit. A site called MarketSaw claims to have 100 percent reliable intel that Peter Jackson will direct a movie version of The Hobbit, and what’s more the entire thing will be shot in 3D.

They claim to be certain, but I have no idea how reliable this site really is. But dammit I want this to be true. This is amazing news. What’s a little strange though is that apparently The Hobbit is being split up into two movies, instead of just one. I’m really not sure how that will work. “The Hobbit” is a much simpler book than the three “Lord of the Rings” tomes. It’s a perfect fit as one movie, if they split it into two, they might be stretching it a bit. I don’t know how that’s going to work, unless perhaps they include some ancillary material from other Tolkien books like “The Silmarillion”.

But it’s Jackson and Lord of the Rings. However many movies they turn it into, this is going to be magic. What’s more, to complement the release of The Hobbit, MarketSaw says New Line plans to convert the entire Lord of the Rings trilogy into 3D as well, and re-release those movies in theaters between 2012 and 2014.

For now, this is just a rumor. It’s late on Friday, which means everyone is going home for the weekend, and we haven’t been able to get any sort of studio confirmation on it yet. But we knew that the relationship between Jackson and New Line was warming, and that PJ getting involved in doing The Hobbit might be a possibility again, and with the way Hollywood has been pushing 3D for their big blockbusters, the fact that they’d want to use it on The Hobbit is no shocker. We’ll get confirmation for good or ill on this one as soon as possible.