Fort Simpson (Dec 03/04) - Internal correspondence between lawyers for the Dehcho First Nations and the federal government reveals a wide gulf as the two parties attempt to reach a pipeline compromise.

If the Deh Cho insists on a veto over the proposed Mackenzie Valley pipeline project, Tim Christian, an Edmonton-based lawyer hired by the federal government, wrote that he will recommend that Deh Cho Process negotiations be ended.

On Nov. 24, Chris Reid, legal counsel to the DFN, sent a written response stating that Ottawa has been unwilling to discuss DFN's proposals for its inclusion on the Joint Review Panel, which will oversee the pipeline's environmental assessment.

"Canada is effectively taking the position that it has a veto over how the lands of the Dehcho First Nations will be used, but you refuse to even consider an equal role for the Dehcho First Nations communities in this critical decision," Reid wrote. "The Dehcho First Nations seek nothing more and nothing less than equality with Canada in determining how their lands will be used."

Herb Norwegian, Grand Chief of the DFN, criticized Ottawa for sticking with the same position that was unanimously rejected by DFN leaders in August.

"The Deh Cho will not be intimidated or bullied," Norwegian replied to the potential termination of self-government negotiations.

However, negotiations have not been severed, according to Campbell Morrison, press secretary to Andy Scott, minister of Indian Affairs and Northern Development.

"Other people may comment on their opinion of it, but it's not broken off," Morrison said from Ottawa last week.

Regardless, Reid said the DFN now plans to move its two court challenges against the federal government into a "higher gear."

"As far as we know, this litigation is proceeding," he said. "There's no reason for them to sit back and think it's about to be settled."