Paramount Animation will release one film a year budgeted in the $100m range as uncertainty hovers over the future of its relationship with DreamWorks Animation.

It is understood the studio, which earlier this year grossed more than $240m globally after releasing the Nickelodeon and GK Films collaboration Rango, will draw on inspiration from its Viacom stablemate Nickelodeon. That said, the first title set to be released in 2014 has not been announced.

Meanwhile the distribution deal that sees Paramount pocket an 8% fee for every DreamWorks Animation release hangs in the balance.

The five-year relationship is set to expire at the end of 2012 and there is speculation that DreamWorks Animation head Jeffrey Katzenberg could have his eye on striking a deal with Warner Bros.