Less likely than full blown re-release using their latest engine? I didn't say remake, I said a DLC; (meaning some asset replacement and shader changes... possibly slight changes made to the executable, but still just a Morrowind mod. *Even if released on disc.)
I don't know whether I understand you correctly, because I don't think this is possible as a mod to Morrowind. The things that can't already be "fixed" by modders are things that are part of the executable. It wouldn't be a mod. It would be at the very least a patch, and given that you're talking about using the Skyrim engine (I think), it would have to be a "remake." All of the body models, animations, scripts, etc. would have to be redone. The changes to the physics alone would cause major problems.
I think it would be far easier to do it the other way around, as a "mod" to Skyrim. And that would be a major undertaking.
Why would a remake have to be set in the same century as Skyrim? (Why not set just where it was originally).
*Have I missread the topic? Is it about a modern Morrowind, or a modern Morrowind? (Set in Skyrim's age, or only set in Skyrim's engine?)
I probably made a leap beyond the bounds of the topic.
I was pointing out the fact that all of the TES releases, up to the present, are in chronological order, and part of a timeline. Each release also makes changes to the "historical facts." The Tamriel of Daggerfall is quite different from the Tamriel of Morrowind, etc. Some changes are quite obvious, like the change to the "Beast Races." (And that's one example of the physical problems that I mentioned above.)