Beacon topper Armyan Bernstein will produce in his fourth teaming with Costner and their first since 2003's "Open Range" for Disney. Production is scheduled for the autumn.
Suzann Ellis, Jasa Abreo and Peter Almond will executive produce. IM Global is handling foreign sales and is introducing the project to distributors at Berlin's European Film Market this week.
"This has been a dream project for Kevin and I for years," Bernstein said. "The themes are timeless: war, peace and reconciliation. The canvas is epic. Look at the movies Kevin has directed."
Costner won Oscars for best picture and director for "Dances With Wolves."
He starred in "The Company Men," which screened at Sundance last month alongside Ben Affleck and Tommy Lee Jones.