Two Akaitcho First Nations have concerns that the Vancouver-based company's bid to drill for lithium at its Phoenix site near Aylmer Lake, about 340 kilometres northeast of Yellowknife, could disturb their ancestral burial grounds.

The Mackenzie Valley Land and Water Board issued the land-use permit to North Arrow on July 16, 2009, but First Nation officials said they had not been consulted before the permit was awarded.

"There were no face-to-face meetings with chiefs on issues; no real meetings with the communities and no attempt to address any of the communities' or leaders' ideas into North Arrow's proposal. North Arrow simply refused to negotiate," stated Justice Michael L. Phelan in his decision.

"This decision sends a clear message to companies who want to operate in Akaitcho Dene territory. This is our land. We are open to working with industry, but companies need to respect us, respect our rights, and respect what we have to say. We have to ensure that our treaty rights and our land and environment are protected," explained Yellowknives Dene Chief Edward Sangris.