Here is a video of the
end of the game. When Ygerna dies the crystal the Divine is trapped in shatters, after which he, Zandalor and (I assume) Deodatus walk out to a cheering crowd, and the Divine waves to the dragon knight.
Behrlihn doesn't imprison the Divine, he just breaks his promise to free him. The Divine was imprisoned 50 years before DKS, which triggered the formation of the slayers, since he was believed to have been killed by a dragon knight.
Project E is reportedly to be released next year (I assume sometime after Dragon Commander).