The Deh Cho First Nations are ready to settle two lawsuits with Ottawa, removing a major barrier to the development of the proposed $7-billion Mackenzie Valley natural gas pipeline.
Deh Cho chiefs and elders have given unanimous but conditional approval to a deal Ottawa tabled in mid-May. It includes $15-million for economic development.
"We need to move on," said Herb Norwegian, Deh Cho grant chief. "But at the same time, we're a bit hesitant . . . Nothing is final."
Approval was given at a meeting of Deh Cho leaders in Fort Liard but the news wasn't issued until late yesterday. Deh Cho land covers about 40 per cent of the 1,220-kilometre pipeline route.
The Deh Cho last September filed two lawsuits against the federal government, demanding more power in the pipeline regulatory review and threatening to stall the process.
Imperial Oil Ltd., the pipeline's main backer, said the potential Deh Cho deal is "encouraging."
"Anything that helps to remove elements of uncertainty facing the project is welcome," said Hart Searle, an Imperial Oil spokesman.