Director James Cameron hasbeen in pre-production on his next two features, Avatar and Battle Angel,but Avatar has won the race and willbe the first to shoot.

Cameron told Cine Expoattendees in Amsterdam that he plans to continue to work in the 3D digitalformat for both projects.

Cameron hopes to have Avatar, being made with Fox, finished for 2008 release.

Avatar, ascience fiction project which Cameron has been planning since his Titanic days, is said to be set on adying earth populated by aboriginal people.

"The degree of innovation on this project is daunting so its exactly the kind of project I love doing and studios fear, but no race was ever won and no great movie ever made without risk," Cameron said.

Battle Angel is anadaptation of the Japanese manga series Battle Angel Alita.

The director also worked inthe 3D format on documentaries Ghosts Of The Abyss and AliensOf The Deep.