The Government of Canada has planned to invest C$102.5m ($77.16m) in Mackenzie Valley Highway project to support its various key phases.

The Government of Northwest Territories will provide C$37.5m ($28.23m) to the project for a total combined investment from both governments of C$140m ($105.35m).

Northwest Territories Premier Bob McLeod said: “Today’s funding announcement matters because it demonstrates that we can turn our vision of economic prosperity and opportunity for all of our residents of the Northwest Territories into reality by working together.

“This funding will help advance projects that our communities, residents and businesses have been promoting for years, and allow for important planning work to continue to move the Mackenzie Valley Highway project forward.”

“The highway will help the region’s transportation system to sustain the effects of climate change while addressing transportation bottlenecks and congestion along Canada’s trade corridors.”

A bridge will be constructed over the Great Bear River to improve the road’s resiliency to climate change, improve safety, and extend the number of the road’s operating days by two to four weeks.

The project also involves the construction of a 15km all-weather access road from Wrigley north to Mount Gaudet.

Funding support will be provided for environmental and planning studies to develop final routing and design to secure permits for the highway’s construction.

According to an estimate, the highway construction project will create 400 jobs over the life of the project.

Upon completion, the highway will help the region’s transportation system to sustain the effects of climate change while addressing transportation bottlenecks and congestion along Canada’s trade corridors.

Northwest Territories Infrastructure Minister Wally Schumann said: “Highway infrastructure plays a very important part in the longevity and health of our communities.

“Not just because of the connections it will make, but also because of the skills, training and economic benefit opportunities that construction projects bring to the communities and the people of the north.”