Nazghul is an Ultima-like game engine (2D tile graphics) with combat, magic, NPC AI, an embedded scripting language, and in-game editing.
As a big fan of the Ultima games and a wannabe game developer, I'd call Nazghul a dream come true. It comes with a full game, Haxima, which brings back nostalgic memories of Ultima IV or V--only this time with more modern enhancements, such as a log to keep track of quests and some fancier graphics. And besides that, if you don't like the way the game runs, you can design your own game in a fairly uncomplicated scripting language and run it with the same program. Thumbs up to the Nazghul team, and keep up the good work!