Apple head honcho Steve Jobs has confirmed that Epic Games is working on their first game for Apple platforms. He was joined on stage at Apple’s press conference by Epic president Mike Capps today to show off “Project Sword”. It is a first-person action adventure game and will apparently offer “epic sword battles”. It will also support Game Centre.

Epic will be licensing Project’s Sword’s engine out for other iOS developers to use, so in essence what we saw was the big screen debut of Unreal Engine for the iPhone. You can play around with a demo of the castle environment featured in the Project Sword demonstration on your iPhone/iPod Touch/iPad right now by downloading it here.