The federal government has offered an aboriginal group in the Northwest Territories a land claims and self-government deal, which if accepted would remove a major stumbling block to the proposed Mackenzie Valley pipeline project.
nwt_mack_pipeline Pipeline route
INDEPTH: The Mackenzie Valley Pipeline
The first response from the leadership of the Dehcho First Nations is that it's a "lowball" offer, but promising.
Indian and Northern Affairs Minister Jim Prentice announced Ottawa's offer at a meeting of the standing committee on aboriginal affairs Wednesday.
"Yesterday [Tuesday] the Government of Canada tabled an offer to the Dehcho First Nation of the Northwest Territories to settle a land claim and self-government agreement. This offer provides the base for the negotiation of a fair and reasonable agreement that can meet the Dehcho's interests," said Prentice.
The offer includes 39,000 square kilometres of land and $104 million to be paid out with interest over 15 years. It would also give the Deh Cho control over surface and subsurface rights on their land. Subsurface rights would allow them to set royalty rates and collect 100 per cent of the royalties.
The deal would also give the Dehcho the right to make their own laws, although the Charter of Rights would still apply on Dehcho territory.
The Dehcho First Nations have opposed the proposed Mackenzie pipeline up until now, saying they wanted a land-agreement and taxation rights before any development went ahead.
The multi-billion dollar pipeline project would move natural gas from the Beaufort Delta to northern Alberta.
Forty per cent of the pipeline would pass through Dehcho territory.
On a recent trip to the N.W.T., Prentice indicated an agreement wasn't needed for the pipeline to proceed.
The offer was given to Dehcho leaders at their spring leadership meeting in Fort Liard on Wednesday.
"It's a lowball offer," said Herb Norwegian, Grand Chief of the Dehcho First Nations.
But, said Norwegian, "it's a signal that Canada wants to resume these talks with the Dehcho. All these signals and all the bits and pieces are put on the table and that tells us Canada is willing to go down the road and start discussing a number of things."