Life is smelling even sweeter for Nicole Kidman.

"The Hours" Oscar winner, said to be a close friend of the creative director at Chanel, Karl Lagerfeld, has been announced as the new international face of Chanel No. 5, say published reports.

While financial details of the deal are not being revealed, the Sydney Sun-Herald in Australia reported that Kidman would be paid $12 million Australian (about $8.5 million U.S.).

Kidman's Australian publicist, Wendy Day, tells the paper: "It's a wonderful acknowledgement from Chanel and a great accolade for her."

Day, however, could not confirm reports that Kidman was preparing to announce her engagement to Lenny Kravitz, after a report in the London Daily Mail that the couple would inform pals and family members of their wedding plans at a party in New York in early December.

Day tells the paper that she doesn't know how serious the Kidman-Kravitz relationship is.

In her Chanel role, Kidman will assume a mantle previously held by some of the most beautiful women in the world, including Ali MacGraw, Candice Bergen, Lauren Hutton, Jean Shrimpton, Catherine Deneuve and Carole Bouquet.

Such directors as Ridley Scott and Luc Besson have previously worked on one of the most high-profile campaigns in fashion, Chanel No. 5 ads.

For her debut as the face of the house, Kidman will be reunited with her "Moulin Rouge" director Baz Luhrmann, who reportedly will direct and produce the ads, which will begin airing a year from now.