Go look at Ark: Survival Evolved it basically does everything you are asking for and it even has dinosaurs. But in really short terms to answer your general question.
Is it possible? Yes.
You might also look at Rust, Dayz as they also fit your your criteria. One has penises and the other has zombies!
As to engine choice -- better to ask that in the technical section, but to be blunt do more research before you jump in headfirst at the shallow end of what is a very large pool.