Alchemilla

[Sexbad]

It's actually a HL2 mod, not an entirely new game. Apparently the creator basically wanted to re-create the atmosphere and overall feel of Silent Hill so he made this (I'm getting this all from Moddb). Anyways, it looks like it could be pretty good.

The problem it faces is replicating the subtlety of Silent Hill. In the video the player is just walking along and SUDDENLY, BARFGUY APPEARS. That doesn't happen in a game like Silent Hill 2. You hear the static of the radio and the pitter-patter of the feet or whatevers before you ever see the enemy. This is just, "Here is a thing stumbling slowly toward you. Here are what appear to be a shotgun and a handgun. Survival horror!"