VANCOUVER, BC (From news reports) -- Canfor Corp. said Thursday it plans to sell its forestry and mill assets in Mackenzie for $70 million.

In a news release, the company said it has entered into a letter of intent with McLeod Lake Indian Band and Tsay Keh Dene Nation to sell its forest tenure.

Canfor said it has also entered into a separate agreement with Peak Renewables to sell its Mackenzie site, plant and equipment for a combined price of $70 million.

Canfor said it will work with both McLeod Lake and Tsay Keh Dene on a definitive agreement to transfer the tenure and to seek approval from the province. The company said the tenure will provide both with greater oversight and control over resource development within their traditional territories.

"First Nations in B.C. have been relegated to marginal roles in the forest sector for far too long. The Letter of Intent signed with Canfor has the potential to dramatically change this imbalance within the Mackenzie Timber Supply Area," said Tsay Keh Dene Chief Johnny Pierre in a statement.

"With further work and agreements the Letter of Intent provides a clear path for the eventual transfer to and subdivision of the forest tenure between McLeod Lake Indian Band and Tsay Keh Dene."

McLeod Lake Chief Harley Chingee said his community was pleased to be acquiring the tenure from Canfor.

"This purchase represents an important opportunity for us to continue our work towards economic stability and prosperity for our members, communities and business partners," said Chingee in a statement, "all while ensuring careful and responsible stewardship of our sacred environment in accordance with our Tse'khene laws, customs and traditional knowledge."