According to the gang at Neo-Gaf, the game will be based on the original Grudge movie, known as Ju-on (or The Curse) in Japan and Shimizu will be involved in the development.
The game will include new victims not seen in the movie and is already about 60 percent complete, according to the Neo-Gaf post.
The only game mechanic mentioned in the translation is that you will need to pick up batteries to power the flashlight in the game.
The one and two player game is set for a summer release in Japan. No word on elsewhere.