According to Deadline, he is developing the book with writer and art director Jon Baird, with illustrations by artist Rick Ross.
Costner has expressed hopes of adapting the novel into a cartoon series and eventually a live-action film.
He explained: "[The series] represents the highest level of storytelling that lends itself to numerous platforms and if the words are protected, this can find a place as a premium content series, animated and live, and a feature.
"It feels like one of those billion-dollar babies that sometimes blow up with a high degree of literacy and commercial appeal. We are looking for the right kind of partner who recognises this."
The 57-year-old actor recently made a comeback in the History Channel series Hatfields & McCoys, and will next be seen on the big screen opposite Chris Pine in Jack Ryan.
The first book in the series, The Explorers Guild, Volume One: A Passage to Shambhala, will be published in 2014.