The project, provisionally titled Reds, will be based on the experiences of writer and director Martyn Burke, according to Deadline.
In the 1980s, Burke travelled across America with a camera crew while filming a documentary, unaware that his sound man was secretly an undercover KGB colonel.
The Soviet operative later established a base in New York while posing as an American citizen, but was eventually caught.
Reds will be a loose adaptation of events and will focus on a number of Russian spies who live in the US while passing on secret information to Moscow.
Burke previously wrote the script for 1999 television film Pirates of Silicon Valley and directed Sylvester Stallone thriller Avenging Angelo, as well as a number of documentaries.