Lobotomy's first N64 project was called Aquaria, a game that played much like Nights Underwarter - but in 3D, as they described it. At the time they were in the process of becoming a licensed N64 developer.

The company was acquired by Crave Entertainment in 1998 and renamed Lobotomy Studios and started working on Caesar's Palace, gambling game, for N64. However after a year being in development, Caesar's Palace was postponed and eventually cancelled. Lobotomy Studios was shut down and employees were let go or given the option to be relocated to another position at Crave. Nothing ever came of the plans to release Aquaria, it might never have gotten further than a design idea.