James Cameron previously directed Schwarzenegger in two 'Terminator' films and 'True Lies'

Arnold Schwarzenegger is set to reunite with director James Cameron on Avatar 2, according to a new report.

Cameron previously directed Schwarzenegger in 1984’s The Terminator – the film that made the musclebound Austrian a major star – as well as 1991’s Terminator 2: Judgment Day and 1994’s True Lies.

Now Cameron is lining up Schwarzenegger to play a “bad guy human general” in Avatar 2, Latino Review claims to have been informed by “top level sources”.

Last month (August) Cameron confirmed that he is now working on not two but three Avatar sequels. The director is planning to film them back-to-back with shooting due to begin next year (2014).

Avatar 2 is scheduled for release in December 2016, followed by Avatar 3 in December 2017 and Avatar 4 in December 2018. Released in 2009, Cameron’s Avatar became the highest-grossing movie of all-time, a title it still holds, with worldwide box office takings exceeding $2.7 billion (£1.7 billion). Stars Sam Worthington, Zoe Saldana and Sigourney Weaver are all expected to return for the sequels.