Peter Jackson has revealed what characters from the Lord of the Rings movies will be making an appearance for The Hobbit adaptation, which will be two films. "Gandalf, being a 2,000-year-old wizard, is still around and plays a major role in 'The Hobbit,' and we're having Ian McKellen reprise," Jackson said to MTV. "There's a couple of other characters: Elrond, who was played by Hugo Weaving [in the original films], and there's a possibility of Galadriel, who was played by Cate Blanchett."
Jackson isn't directing. That will fall into the hands of Guillermo Del Toro (Pan's Labyrinth). Jackson will executive produce as well as write the screenplay.
Jackson already has Ian McKellen on board and is confident Weaving and Blanchett would be willing as well.
Source: MTV