In a surprise announcement, SCEA confirmed earlier today that God of War II director Cory Barlog is leaving the Santa Monica-based studio that crafted one of Sony's top franchises. In addition, the company also confirmed the rumors started by Barlog in March concerning a PS3 sequel to the blockbuster series.

Here's the official statement from Sony:
We can confirm that Cory Barlog, Game Director for God of War II, is leaving the SCEA Santa Monica Studio and we are grateful for his work and creative vision for the critically acclaimed God of War franchise. Moving forward, we are confident in the God of War team, as they are an extremely talented group of people that are passionate about the franchise and dedicated to creating even more epic content with God of War: Chains of Olympus for the PSP and God of War III for PS3.
As of the last time we spoke with him, Barlog was involved in overseeing elements of the design of Orange County-based Ready At Dawn's handheld installment of the series, Chains of Olympus.