Dave Payne is preparing No Man's Land: Reeker 2, the sequel to his 2005 horror film about an unfathomable entity that starts to kill a group of friends in the desert.

Ed Noeltner's Los Angeles-based Cinema Management Group (CMG) will commence sales at the European Film Market in Berlin next month. The new story will feature a deadlier killer and a new set of characters, and explores what happens to people when they die.

Filming is set to begin in May for delivery in the fourth quarter. Dave Payne and Tina Illman are producing and Los Angeles-based The Institution is financing with private equity investors.

CMG sold Reeker to more than 40 territories on the back of that film's Toronto 2005 launch. Buyers included Bac Films in France, Pathe in the UK, Dutch Filmworks in Benelux, Mediafilm in Italy, and LNK in Portugal.

Reeker grossed more than $1m in Mexico through Cine Y Video TV and more than $300,000 in Argentina through Eurocine.