The makers of the Malayalam film Lokah Chapter 1: Chandra have officially announced Lokah Chapter 2, much to the delight of fans. A special promo video featuring Tovino Thomas and Dulquer Salmaan was released to announce the sequel.

Tovino Thomas will be reprising his role as Michael, the mischievous goblin or "chathan". Dulquer Salmaan is also set to return as Charlie, the shapeshifting Odiyan. Dominic Arun, who directed the first chapter, is also directing the sequel. The film is produced by Dulquer Salmaan's Wayfarer Films.

The announcement video opens with Michael and Charlie meeting at their safehouse, sharing toddy. Michael playfully chides Charlie for not calling him, even once in a century. He then reveals that his "crazy" and violent elder brother has been released, seeking Charlie's help to deal with the situation. When Charlie refuses to get involved in Michael's "family problems," Michael insists that they are all family. The video hints at a deeper history between the two characters.

The sequel will see Michael facing off against his brother. The promo also references Kalliyankattu Neeli from the book They Live Among Us, who Michael refers to as "my girl". Lokah Chapter 1 – Chandra starred Kalyani Priyadarshan in the lead role. The supporting cast included Naslen, Arun Kurian, Chandu Salimkumar, Nishanth Sagar, Raghunath Paleri, Vijayaraghavan, Nithya Shri, and Sarath Sabha.

Lokah Chapter 1 was a surprising success, and Dulquer Salmaan revealed that many, including Kalyani Priyadarshan's father and veteran actor Mammootty, were worried about the project initially. Kalyani praised Dulquer for backing such a unique film. The release date and further details about Lokah Chapter 2 are yet to be announced.