Oscar-winner Sean Penn may have found his next role and, as one might expect, it's going to be controversial.  According to Variety, Penn's "21 Grams" co-star, Naomi Watts, has signed on to play former CIA agent Valerie Plame Wilson in the drama "Fair Game." The trade also reports that Penn is close to a deal to play Palme's husband, Ambassador Joseph Wilson.

After writing op-ed columns that accused the Bush Administration of manipulating intelligence about (nonexistent) weapons of mass destruction as a means to justify the Iraq War, Wilson saw his wife's status as an undercover CIA agent become compromised in the press.  Later, Karl Rove, Deputy Secretary of State Richard Armitage and Vice President Dick Cheney's chief of staff, Lewis "Scooter" Libby, admitted they had leaked her agency status to journalists.  In 2005, Palme Wilson filed a civil suit against all three while in a separate legal matter, Libby was convicted of lying to a federal grand jury about his role in the conspiracy.

The independently financed film will be directed by Doug Liman who hasn't worked on a limited budget since his 1999's "Go." Pretty intriguing because the man behind "Mr. and Mrs. Smith" and "Jumper" could pretty much take reshoot as a middle name. 

Watts is also making news by joining the cast of Woody Allen's latest project which already has "Slumdog Millionaire's" Freida Pinto, Josh Brolin and Anthony Hopkins in the mix.  Watts is currently shooting the drama "Mother and Child."

After winning his second Academy Award for "Milk," Penn could be making noise at next year's Oscars with a role in Terrence Malick's "Tree of Life" with Brad Pitt.

No word when production of "Fair Game" is scheduled to begin.

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