Dave Sullivan
Northern News Services

Nahanni Butte (July 27/01) - One hundred residents of Nahanni Butte won't be getting $1 million after all.

The money was offered by Arcis Corporation, a Calgary seismic company, in an agreement it signed this spring with the Dene community's chief and council.

But now Arcis won't be going ahead with its $10-million summer seismic mapping on Crown land, although it hopes to start a scaled-back $5-million winter program.

In the agreement, Arcis promised to hand over $1 million cash -- 10 per cent of spending -- in addition to creating jobs.

Arcis chief executive officer Peter Boyd says the agreement will still be good for winter, if work goes ahead then.

The summer program was doused because Arcis has been unable to pre-sell its data to oil companies. Boyd said uncertainty from self-government talks under way with the Deh Cho First Nations made an already difficult situation worse.

"A lot of issues are clouding the picture," he said.

Some of Boyd's clients are working through massive mergers. The multi-billion-dollar deals are being closed while the price of natural gas plummets on wholesale markets. Decisions are on hold.

The Deh Cho First Nations political climate didn't help. Nahanni Butte Chief Leon Konisenta said the Arcis project ground to a halt at his end because "nobody would support me."

The Deh Cho region's other nine communities were expected to discuss Arcis' proposal at a meeting four weeks ago, but it was shuffled aside by debate over the Mackenzie pipeline.

DCFN Grand Chief Michael Nadli said he was "out of the loop" in the Arcis agreement.

He said that while DCFN is sometimes portrayed at the "bad guy," support from member communities for Nahanni Butte's plans is critical because of an interim agreement in place. Signed with the federal government, it contains guidelines on how to negotiate for control over resources.

According to a federal government spokesperson, however, Arcis' summer project "could have had a tremendous impact" on the economy.

"Some people with the Dene band are disappointed," said Bob Mahnic of the Department of Indian Affairs and Northern Development.

Other exploration moves forward

In the meantime, Nahanni Butte has given the green light to Talisman Energy and its $5-million seismic exploration program for the area this summer.

A few summer jobs are being created by the activity, and Doug Patterson, Talisman's land manager, said contracts will be awarded locally where possible.

Patterson said there will be no cash payments for Nahanni Butte.

Much of the work has been subcontracted to Beaver Enterprises, owned by Fort Liard-based Acho Dene Koe First Nations.

"It could be the start of a successful relationship," said Patterson.