Procedurally generated survival horror is a good idea in theory, but past attempts at the formula haven't quite nailed it. New Zealand studio Eyemobi is giving it a red hot go in the form of Phantasmal, a horror game set in the notorious Kowloon Walled City, a huge Hong Kong sprawl which was demolished in 1994. That fact alone is enough to warrant a look (Kowloon was insane), but the studio's professed love for Lovecraft is also promising.
In true Lovecraft fashion you won't just be tackling "lurking, otherworldly creatures", but insanity also. Avoiding conflict altogether is the best way to keep the latter in check, and stealth appears to be a key part of the game. You can beat things with sticks if you're really desperate, though. The studio describes the game as The Binding of Isaac meets Silent Hill.
Phantasmal is in Early Access as of today, and is expected to stay there for 3-6 months. The core game is playable but a bunch of features will be added at launch, including procedural story generation, a greater diversity of environmental art and NPC interaction. Check it out on Early Access or watch the trailer below: