The 51-year-old "Raising Hope" star will play the villian in the film, reported Deadline.
The film revolves around lumberjack (Momoa) and his battle against mercenaries, who are after a heroin stash that has found its way into his family's mountain cabin.
Dillahunt will play the money-hungry trucker.
Thomas Pa'a Sibbett has penned the script from an original story by Mike Nilon.
Momoa is producing the project under his Independent Film Group.