Naomi Watts has just signed on to play Princess Diana in a new film about the final two years of her life.

The Oscar-nominated actress, 43, beat out actresses like Jessica Chastain and Keira Knightley, to get the coveted role.

The biopic, tentatively titled ‘Caught in Flight’, will portray Princess Di’s romances with heart surgeon Hasnat Khan and Dodi Fayed, as well as her role in campaigning against landmines.

Watts said: “It is such an honour to be able to play this iconic role – Princess Diana was loved across the world, and I look forward to rising to the challenge of playing her on screen.”

The film will be directed by Oscar-nominated German director Oliver Hirschbiegel and it will begin production in the UK next year.

Hirscbiegel, best known for the film Downfall about the last days of Hitler, said: “I am delighted to have such a truly exceptional actress who embodies the warmth, humanity and empathy of such a global icon as Princess Diana.”

The movie is based on a screenplay by The Libertine playwright Stephen Jeffreys.

The film will show how the princess finally found true personal happiness and achieved success as an international campaigner and humanitarian, according to Ecosse films.

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Actress Naomi Watts arrived at the Ravesis Hotel to get glamorous for an event in Centenial Parks, Bondi, Australia yesterday afternoon. She left a couple hours later looking as gorgeous as ever to attend the Jacobs Creek event.

I mean talk about a before and after! Look how beautiful she is!

Photos: Fame/Flynet

Nine of Hollywood’s hottest female stars were honored last night at Elle Magazine’s 18th Annual Women in Hollywood tribute.

The women celebrated this year included Barbra Streisand, Jennifer Aniston, Freida Pinto, Evan Rachel Wood, Naomi Watts, Michelle Pfeiffer, Viola Davis, Stacey Snider and Elizabeth Olsen, who received the Calvin Klein Collection Emerging Star award.

The clear winner of the night was Streisand, who picked up the L’Oreal Paris Legend award. Most of the women at the event looked up to and were inspired by the singer/actress’ career. Oscar-winner Kathryn Bigelow, who directed “The Hurt Locker,” called Streisand “a world icon” and “somebody who has mastered virtually every art form imaginable: directing, acting, composing, singing, producing, writing,” as she introduced her on stage.

Fellow nominee Aniston told the singer that she loved her, and Pinto added that she was honored just to be “sharing the same oxygen” with Streisand.

“You’re a legend not only in Hollywood but literally all over the world,” Pinto said to Streisand. “I can say that because I come from India.”

In her acceptance speech, Streisand told the crowd that only seven percent of the top 250 films were directed by women, and she encouraged those in the audience to continue to break barriers in the entertainment industry. “Let’s be bold and don’t wait for the phone to ring,” she said. “Create your own material. Tell me a story.”

Check out Elle’s short documentary on their top Women in Hollywood, featuring interviews with the honorees below.

What do you think of Jennifer’s dress? The metallic Kaufmanfranco mini-dress looks pretty hot on the actress, if you ask me. Check out all the other hot looks below!! Tons of pics to look through!

Pictured: Jennifer Aniston, Katherine Heigl and husband Josh Kelly, Reese Witherspoon, Busy Phillips, Jayma Mays, Stephen Dorff, Camila Alves, Nicole Richie, Elizabeth Olsen, Jenna Dewan, Chloe Moretz, Amber Heard, Viola Davis, Erika Christensen, Freida Pinto, Laura Dern, Robin Wright, Rachel Zoe, Chelsea Handler, Michelle Pfeiffer, Abigail Breslin, Naomi Watts and Evan Rachel Wood.

Photos: Fame

Photos: Fame

Photos: Fame

I love this dress by Chloe Sevigny! I think she looks amazing! Here she is at last nights CFDA Awards in NYC.

Also pictured: Liv Tyler, Naomi Watts and Gerard Butler.

Photos: Fame

I just love them! I think Liev Schreiber and Naomi Watts are the cutest celebrity couple! Their children are adorable, and I love how the two of them are spotted all them time with their kids and – shocker – without a nanny!

Love them!

Photos: Fame