The planned new project would focus on the young Powers and only regular Seth Green would possibly return for the film - to play the younger version of his movie dad DR EVIL.
Producers are keen to work quickly on the film so it will be ready for release on the back of the new 007 movie because Austin Powers is a spoof version of James Bond.
Austin Powers regular Michael York, who will not be part of the new film, tells website Darkhorizons.com, "I have heard that they want to do a new film to coincide with the release of the next James Bond movie. Since 007 is going to be younger in that movie, they're considering doing a Young Austin movie.
"I don't know if MIKE (MYERS) would even be involved. It would probably be Seth Green playing Dr Evil Junior."