Battle brewing over proposed oil pipeline

A group of First Nations leaders in Manitoba is meeting Tuesday to map out a strategy for forcing one of the country's largest gas and oil distributors to pay them for putting a pipeline through traditional territory.

A proposed Enbridge Pipelines project called the Alberta Clipper would pass through southern Manitoba on its way from Alberta to Wisconsin.

Roseau River Chief Terry Nelson, one of the Treaty No. 1 First Nations leaders meeting in Portage la Prairie Tuesday, said the company isn't offering aboriginal communities any compensation for passing through land they claim as their traditional territory.

"Every municipality gets a benefit from the pipeline coming through the municipality they get it without a fight because they are recognized as beneficiaries to the pipeline except the indigenous people," he told CBC News.

Nelson said he's tried, without success, to convince the federal government to refuse to approve the pipeline if First Nations aren't compensated.

The bands will consider taking the case to a U.S. court in a team with American Indian bands, Nelson said. The bands will also consider blocking construction of the pipeline, he said.

"If we ever do get to the confrontation and militant acts it is not because we haven't tried to resolve the issue before we get to that stage," he said.

Industry Canada officials said the National Energy Board will examine all issues as part of their review of the Alberta Clipper. Hearings are taking place in Calgary this week.

But Nelson said that's not enough, arguing it's the federal government's job not an independent agency's to ensure First Nations' rights are honoured.

A spokesperson for Enbridge said the company would not comment on policy while the hearings are underway.