Don't know if it's be asked before, but...

...is there any chance that the facial animations in Nightfall will be ported over to the Prophecies/Factions cutscenes?

I would think that the models are already there, seeing as my Prophecies-borne characters jabber away just fine in Elonian cutscenes. So, why not bring the head models over? I realize that the models for NPCs, like Rurik and such, would have to be remodeled slightly, but that shouldn't be too hard of a process since the general premise is already there for NPCs in Nightfall.

So why not? Seems like it would be a neat thing to do, for a seamless transition that is.

I don't think it is suggested before, AFAIK.
This belongs in Sardelac though, and will probably be ported by a mod soon..

It's not models. Each line of dialogue must be lip synched. That means, for each cinematic, for each character, for each line.

Models are the small part.

I wasn't suggesting the idea per say, but merely asking if it had been brought up before. If this is in the wrong place, I apologize.

As for the lip syncing, I thought the animation system was similar to the original Half-Life, with the mouths reacting like a stereo's spectrum analyzer. Seems like they just open based on the volume level of the dialogue.

That is indeed what it looks like.