Deh Cho get new Mac deadline

Gary Park

The Deh Cho First Nations have been given another month to decide whether they are onboard or not with the Mackenzie Gas Project.

The Aboriginal Pipeline Group, which represents aboriginal regions along the Mackenzie Valley pipeline right-of-way in seeking a one-third ownership in the project, gave the Deh Cho until July 30 to decide whether to end their holdout position.

APG president Bob Reid said no more time is possible because of the pressure on the aboriginal regions to arrange C$1.6 billion in capital to fund construction of the pipeline.

The Deh Cho had asked for an extension in mid-December when Grand Chief Herb Norwegian said additional time was needed to consider membership in the APG.

He said a land claim offer tabled by the Canadian government in May is designed to encourage the Deh Cho to support the pipeline.

Norwegian said the negotiations are “like a Rubik’s cube ... if you move one piece it affects another piece.”

In pressing for a new deadline, the Deh Cho gave one of their strongest hints yet that their concerns are being dealt with and a ownership stake for their 4,500 residents is possible.

Within the Deh Cho region some communities are pro-pipeline and some have tried to separate the land claim negotiations from the pipeline issues.

The Deh Cho, whose land covers 40 percent of the pipeline route, would hold a 34 percent stake in the APG if they join and cold earn C$20m million a year in annual dividends.

Reid said the Canadian government rejected a Deh Cho request to double that payout to C$40 million, although he conceded that lower interest rates have cut into the value of the C$20 million in dividends.

He said slower-than-anticipated progress on the regulatory front has given the APG until the fall to settle its final membership before it tries to round up financing.