I liked PN03 as well. It was nothing special but it was fun...especially going back through and collecting all the suits and such. I consider PN03 generally as a sleeper hit or very overlooked game. Its good...but doesn't stand out.
Dead Phoenix will probably live up to its title and stay dead If it was being retooled into a different game, that would have been done by now. If it was to be worked on again for a Wii/PS2 release, chance of the original team working on it again is slim to none. Many of the people are probably working on other projects or for other companies. I see this as fairly critical because the game wasn't far enough along for a new team to pick it up - they would likely just start from scratch again. And if they were going to start from scratch again, that just means its a shelved idea. Capcom probably has dozens. I'd love to see this game too, but I gave up hope a long time ago.