SOMBA K'E/YELLOWKNIFE - Two First Nation groups are taking a mining company and the federal government to court over a land-use permit they say was issued without their consent.

Yellowknives chiefs Ted Tsetta, left, Ed Sangris, and Lutsel K'e Chief Steve Nitah held a press conference Thursday to announce a court application to halt mining exploration by North Arrow Minerals, which is searching for lithium 340 km northeast of Yellowknife. - Mike W. Bryant/NNSL photo

The Yellowknives and Lutsel K'e First Nations have filed a notice of application, calling on the Federal Court to revoke the permit handed to North Arrow Minerals by the Mackenzie Valley Land and Water Board on July 16.

North Arrow is drilling for lithium at seven exploration holes near Aylmer Lake, about 340 km northeast of Yellowknife.

At a press conference held in Yellowknife on Thursday, Dettah Chief Ed Sangris told reporters they're not against mining development. They just want to be consulted before any mining work proceeds.

"They think the First Nations are difficult to deal with, but in this instance (North Arrow) chose not to deal with us," said Sangris.

North Arrow did not return phone calls but a press release on the company's website insists the permit remains valid and that "it maintains 100% ownership of the mineral claims" at its Phoenix project near Aylmer Lake.

Sangris, along with Lutsel K'e Chief Steve Nitah, said the area North Arrow is exploring contains trails used by the Yellowknives and Lutsel K'e band for hunting, trapping and other traditional land uses.

The two chiefs said North Arrow could've avoided a confrontation if they had signed an exploration agreement with them.

Willard Hagen, chair of the Mackenzie Valley Land and Water Board, said North Arrow followed all the necessary steps in obtaining the land-use permit, including consultation with the affected First Nations groups.

"The Lutsel K'e and (Yellowknives) Dene are saying there was no consultation, yet if you read their court documentation filed by their lawyers, it says they've been in discussion with North Arrow for at least three months," said Hagen.

He said the real problem is with loose federal government rules that allows mineral and gas exploration on vast chunks of land - including those claimed by First Nations - even if attempts to turn the development into a full-scale mine are ultimately denied.

"We don't have the choice, if everything is right (according to the Mackenzie Valley Resource Management Act) we have to issue or we will be taken to court (by permit applicants)," said Hagen.

"We don't give rights, we just permit existing rights."

Besides North Arrow and the Attorney General of Canada, the court application also names the North Slave Alliance and Deninu Kue First Nation of Fort Resolution as respondents but Stephen Ellis, with the Interim Measures Agreement implementation office, said the inclusion of the two groups was just a technicality to ensure they were notified of the court proceeding as they too expressed concerns about North Arrow's permit application to the water board.

Bill Enge said the Metis Alliance has the option of joining in on the court application in opposition to the land-use permit - something Enge said his group is considering.

He said North Arrow has not properly consulted with the Metis Alliance either.

"Not to our satisfaction," said Enge.

A court date to hear the application was not set at press time.