Icewind Gate II is a project to automatically convert the content from BG2 to the IWD2 engine (and third-edition D&D rules). This should combine the best of both worlds: IWD2's intelligent rule system and BG2's plot.
The project will make use of a modified version of WeiDU (affectionately dubbed "WeiMorph") to do the automatic resource conversion.

Currently the project is approaching the beta-testing phase. All of the content can be automatically converted (this takes between 40 seconds and two minutes on my 1.6 GHz laptop) ... now we just have to look over the areas and make sure that everything works.

Want to follow our progress? Check out the bug-reporting forum.

Key conversion points:

Uses IWD2's spell system (no more Time Stop, Chain Contingency, etc.).
All converted items are automatically given descriptions based on their actual abilities, so no matter what the BG2 designers or my converter were smoking you'll know what is going on.
All monsters are converted to 76 + (level/3) stat-point characters. Feats are chosen (using the same rules you would use, etc.) based on classes, spell memorization tables are filled out, etc. IWD2's "scaled experience" thingy is employed, so if you're 20th level you don't get XP for killing kobolds.
Trap, lock, hide and lore (etc.) difficulties are converted from BG2's 1-100 scale to IWD2's 1-40(ish) scale.
Still leaves IWD2 completely playable, if for some reason you want to :-). New strings are appended to dialog.tlk, converted resources are put in their own namespace.
The current goal/milestone is to convert an Unmodded version of SoA. If that works we'll move on to ToB, BG2 mods, possibly BG1, etc.

Here are some screenshots of the beginning of the game (the later bits work but I haven't had time). Click on the thumbnail for a larger image. Ignore any "debugging output" :-).