"The US Army has begun the process to dispatch a squadron, which will operate the Grey Eagle unmanned aircraft, to a US unit in Gunsan (274 kilometers south of Seoul)," the source told Yonhap news agency.
The source added that the consultations regarding the deployment were underway but provided no specific time frame.
In 2017, North Korea carried out tests of four ballistic missiles, and conducted two nuclear tests and 24 missile launches last year.
The system is an advanced version of the Predator drone and has an endurance of 25 hours, speeds up to 167 knots (309 km/hour), can operate up to 29,000 feet (8,840 meters) and can carry multiple payloads including and four Hellfire air-to-surface missiles and four GBU-44/B Viper Strike glide bombs.