The Ta'an Kwach'an Council hopes it can help boost numbers of Chinook salmon.
The Whitehorse area First Nation has received environmental approval for a month-long project to remove abandoned beaver dams on Fox Creek.
The site is about 40 kilometers northwest of Whitehorse.
The council believes the project will recover one thousand square metres of fish habitat.
Members of the first nation will remove the the dams and work to stabilize banks of the creek.
The work is scheduled to be complete this summer.