Would you want to play such a game? What would be the few major updates you would want, technologically and gameplay wise, that would make such a project get your attention? Would it be improved visuals? Improved Physics? Improved combat? Just an overall improved engine? Or, something more specific like voiced dialogue, or perhaps no levelled lists?

Would you pay to back such a project on Kickstarter if you had faith that the team could deliver?

It would be practically the opposite to the modern elder scrolls, albeit updated for the modern era in many ways -

reams of stats, extensive written dialogue, degrading weapons, extensive spells and spell-making, branching quests which force you to take an active role and/or choose a side (with lasting consequences), mainly static enemies and loot, no fast travel - an in depth and realistic travel network of boats etc. It would also take a lot from New Vegas', specifically lots of 'skill-checks' in dialogue, as well as a need to choose 'smart' dialogue options to extract the required information from certain NPCs.

I know there will be some interest in this, I was just interested to see that since Oblivion and Skyrim have come out (which have changed what the elder scrolls is all about quite considerably) how many people would still like a really oldschool morrowind-esque first person open world rpg...

If this game would have the same depth as Morrowind, then yes.

If there was an RPG with the same level of depth, huge amounts of reading material instead of dull short and usually meaningless dialogue, cultural detail and faction system with a villian as developed and interesting as Dagoth Ur in a land as interesting to explore as Vvardenfell with as unique fast travel systems no matter the gameworld lore (ie Land X on the Planet Y) then hell yes. And of course a similar magic system and weapons variety. Will a game like that ever be released again even by indies? I doubt it.

Of course, the one thing I wouldn't want in it is Dice Roll.

Yes, dice roll seems to be the biggest thing that splits most morrowind fans as far as I can tell. I'm with you personally, at least concerning the matter of combat. When it comes to magic fails and lockpicking, I actually think it works pretty well.

I had no problems with 'fail casting' as that is what a true mage would experience at lower skill levels in Tamriel and was truly better magic combat system in a role playing game, it was however incredibly annoying suffering point blank misses in weapons combat and along with Morrowind's incredible spell arsenal was one of the reasons why 9/10 times I rolled a magic using character in Morrowind.

I'm mixed on Morrowind's 'lockpicking' however, I personally liked it more than Oblivion's or Skyrim but I know most don't.

Daggerfall, not Morrowind, is the game an indie developer should emulate.

Anything that deters from another mini-game has to be good.

Pseron Wyrd - what makes you think Daggerfall is more worthy of emulation? Is it the focus on randomly generated stuff, or something else?