Very interesting, I'm making my own original fantasy world (well as original as they can be), at the moment I got 17 Word pages of lore.
My approach to it seems a bit similar to what you are pitching here.
I have this epic story in mind that well be told in chapters that I'm planning to release along the way, at least thats the plan when the D:OS 2 editor hits and I can handle it.
I'm working on a sort of prequel in the D:OS editor, here I've linked to a thread where I've posted a picture from the first level.
http://larian.com/forums/ubbthreads.php?ubb=showflat&Number=580920&page=2 By the way if the lore content you're working with is original, then you might wanna change the name Azeroth to something else, cuz it kinda already taken, sorry didn't wanna sound like an asshole

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I'd be happy to hear more on what you're planning.
Anyway I'm thinking about "releasing" some lore content before the end of May, and I'd be happy if you (and anyone else) would give it a read and comment on it, sorry didn't mean to hijack your thread though, I'll make my own.