I think it would have no problem at all.
Just i would plan out the game first (using some AI if you want).
Break down all your features and describe everything in the most detail.
Include how you want to be able to modify or change it. Maybe you want a tool or something for it (describe that in detail as well)
Ask it to create a modular structure. Create a set of documents (which can be broken into parts by AI again). Each should try to be less than 1000 lines, less is better.
Then also make a task list based off this
These docs should be in markdown (.md), ask the ai to do it. The documents should have links to each other where relavant
Upload into cursor.
Then create a prompt referencing your overview document and other docs. And ask it to tick the task list when it completes something.
Also ask the ai to come up with the tech stack etc based off your needs. That will be part of the overview doc or tech specs attached to it.
Boom! Eventually. You have a game 
Edit:
Comment below is a much better answer 