It was announced on their "unofficial" forum by the man who has the server at his house. He's leaving the game open a few extra days for folks to reminisce in the OOC area of the game, but after that he's closing shop for good.
As to the why of it, you could probably look at a few different threads to get a general idea. I haven't played the game nor have I had direct contact with any of the admins in a few years now. I have only what's posted on that forum to go by.
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