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Per a PlayStation Underground newsletter that dropped in the ol’ email inbox last night, Sony is now holding a Create-A-Creature Contest for Folklore, the upcoming PS3 action-adventure game from Game Republic. Absorbing powers from fallen creatures, or “Folks” as they’re called, is the key component to the Folklore’s combat system, and with over 100 different Folks to defeat and capture there is an equally diverse range of abilities to collect and master.

But there is always room for more creatures, and to that end Sony is looking to the PSU community to create the next new Folk design from the ground up. To enter the contest, you must provide an illustration of your Folk and a full description of its abilities, including the special attack a player would gain by capturing your Folk. This isn’t some contest you can just half-ass to win, you’re really going to have to get those creative juices flowing and come up with something truly unique.

Submissions are being taken now through August 31st, after which the team at Game Republic will judge the finalists and pick one grand prize winner and four runners-up, with all winners to be announced sometime in September. The four runners-up will receive a copy of Folklore for the PS3 and a “World of Folklore” art book, while the winner will have his or her Folk introduced to the game world as an actual in-game creature via a downloadable content pack (along with receiving the game and art book too). Pretty sweet, huh?

Full contest rules and details are available at www.us.playstation.com/EP/Promotions/286. If you’ve always dreamed of creating your own video game character, now is your chance.