Peter Jackson is taking his old bones to the shire once again.

"The Lovely Bones" director is meeting with actors in Los Angeles to cast "The Hobbit," according to The Hollywood Reporter.

Though the movie has not been officially green lit, Jackson has reportedly also made stops in New York and England to cast the film.

Sources told the industry Web site that Jackson is on the brink of signing a deal with Warner Bros. to direct the two-part "Hobbit" adaptation.

According to the Hollywood Reporter, MGM holds half the rights to the property but is currently in financial turmoil.

MGM would need to sign off on the film even if Warner Bros. decides to fund it alone.

"The Hobbit" went up for grabs in May when director Guillermo Del Toro left due to reported scheduling conflicts.

Jackson was set to produce, having directed the "Lord of the Rings" trilogy, but expressed concerns at helming the film over timing concerns. According to the Hollywood Reporter, Jackson would not commit to the project unless it was fast-tracked to appear in theaters in 2012 nd 2013.

Once they are cast, both "Hobbit" films will be shot back-to-back in New Zealand, deadline.com reports.