I'm still a little skeptical, but nonetheless it was reported on Super Hero Hype, which is pretty credible in such news. Here's the article:

Dragon Ball Z Feature to Shoot in Montreal?
Source: The Gazette September 4, 2007

The Gazette has posted unconfirmed news on the Dragon Ball Z movie at 20th Century Fox:

The 20th Century Fox studio is expected to shoot three big-budget movies in Montreal over the next year; each has a budget of at least $100 million. The films are the Night at the Museum sequel Another Night, Independence Day director Roland Emmerich's remake of the sci-fi flick Fantastic Voyage and a big-screen adaptation of the Japanese manga Dragonball Z.

Dragonball Z is adapted from the manga created by Akira Toriyama; the work was also turned into a Japanese anime series that played all over the world. It tells the story of an alien sent to destroy Earth, who has a change of heart and decides to join the humans in their fight against various aliens and bad guys.

There are no details yet as to when these three shoots will begin, but they are expected to wrap production by next July.

Stay tuned for possible confirmation of this.

From: Super Hero Hype