Whether it is decided to do live action or not (I'm guessing not), it is still possible to use live action effects.
Here is a link to my latest "test" effects done on a weekend ("The Final Battle". Some of my other stuff is on there too, including "The Infernos" which shows what is possible for titles, though nowhere near the style needed for The Silmarillion.
Hehe, nice energy beams. Looks good. Be careful with these in the kitchen! ;-) Nice sound-editing, too.
Yeah, obviously you can work on any material in Adobe Premiere. Would be worth a try to see how it looks on 2D or 3D animation. We want you! :-D There is no material yet you could work on, though. Animation style/technique problem is not sorted out yet.
And we are glad you are still here! I'm still here too. I think all of us are just hanging out and visiting and logging on occasionally while we wait "G" to complete his masterpiece. I'm sure once the script is posted there will a flurry of editing and then we will needs our artists, musicians, actor and actresses to show us what they can do with our words.