Lionsgate is developing a sequel to the Oscar contender "Sicario."

According to Variety, the studio is looking to make a sequel to the acclaimed film after scoring a massive opening weekend at the box office. The new film is supposed to be centered on Alejandro, Benicio del Toro's mysterious character in the film.

While it is too soon to know who will actually direct the film, it was announced that Taylor Sheridan will oversee the project while Denis Villeneuve, who directed "Sicario," will be part of the project. Black Label Media will co-finance the movie after working on the first film.

"Sicario" has been in the conversation ever since the film premiered at the Cannes Film Festival and scored rave reviews. However, the movie failed to win a single award at the festival. It later went on to play at the Toronto Film Festival where it recovered a lot of ground and became yet again a standout.

After such great press and reviews the film went on to open with $401,000 in six years and obtained the highest per theater average of any film this year. Now Oscar buzz is afloat and many have prognosticated that Emily Blunt could be up for her first Oscar nomination for her phenomenal performance as Kate. The movie is also looking to be a strong contender in the Best Picture Category. Many are also predicting that cinematographer Roger Deakins may also finally win his Oscar after numerous nominations

However, Lionsgate is being cautious with the roll out of the film. Next weekend the studio will release the movie in another 65 theaters and will finally go wide on Oct. 2 alongside "The Martian." The movie may be a hard sell for the Academy, especially with its dark themes. However, if it continues its solid run, it can get a serious boost.

There are no details on when the sequel will be released or when the film is set to cast and begin shooting.