The fantastical retelling of the origins of the Great Wall of China is directed by Zhang Yimou of Hero and House of Flying Daggers fame.
The actor will reunite with director Paul Greengrass for another Jason Bourne film, set for release in 2016.
The project began by Payne in 2009 has found new life as Damon signs up to play a man on a quest to shrink himself.
The projects, about a young woman with telekinetic abilities, comes from 30 Rock writer Colleen McGuinness.
The futuristic espionage thriller is set in a world where corporations have seemingly unlimited power.
The star of the original Bourne trilogy is in talks to return to the franchise alongside the Captain Phillips director as more Jeremy Renner films also wait in the wings.
Clooney, Matt Damon, Bill Murray and more team up to rescue stolen art from the clutches of Hitler and the Nazis.
Matt Damon says he “doesn’t see” himself as Robin to Ben Affleck’s Batman, and notes that he doesn’t equate his Bourne film with Jeremy Renner’s The Bourne Legacy.