Breeding Pits of Mordor

In this image we are being shown what can only be a nazgul flying creature hatching from it's egg. If the title is accurate, it could not be a dragon, as dragon's are extinct since the slaying of Smaug and none have been actually birthed since before the breaking of Middle-Earth (when Morgoth was imprisoned). The depiction itself is very accurate, if I recall correctly, since it was stated that the foul creatures of the dark lord were often fed prisoners. While blue skin is not typically a human color, you could assume this guy has been dead for a while or draw the conclusion that not all prisoners were human (some orcs).

Book: The Lord of the Rings or The Silmarillion