The Bourne Identity actor will allegedly star as Vin, the character Steve McQueen played in the original, according to The Sun.
Morgan Freeman and Kevin Costner are also reportedly in talks to join the project.
Tom Cruise was recently unveiled as the lead actor for the new film from MGM.
A source said: "MGM are throwing big money at the film and wanted some top names to fill the main parts.
"You can't get much bigger than Cruise and Damon."
However, there has yet to be any official announcement of the casting for the film other than Cruise.
The 1960 original film centred around seven gunmen who are hired to protect a Mexican village from a group of deadly bandits.