The Northwest Territories government and the Dehcho First Nations have conflicting views on how much they'd like to expand the boundaries of the Nahanni National Park Reserve.

The park reserve, a UNESCO world heritage site known for its pristine watershed and unique rock formations, has been the subject of expansion talks in recent years among the federal, territorial and aboriginal governments.

Members of the Dehcho First Nations, whose traditional territory includes much of the South Nahanni River watershed, voted in favour of a large expansion at their annual assembly in June.

The First Nations want to see the park grow from its current 4,700 square kilometres to 32,000 square kilometres — an area that would protect almost the entire watershed and make Nahanni almost as large as Wood Buffalo National Park, currently the largest national park in Canada.

But Premier Floyd Roland said he's worried such a move would cut off mining, oil and gas development opportunities in the area.

"That absolutely locks down the whole area. There'd be no potential for any future development," Roland told CBC News on Monday.

"And whether the Dehcho wanted to [allow development] later on, they wouldn't be able to because Parks Canada, once it's established under that national park scheme, then it's taken out of the hands of northerners altogether."

Roland said the territorial government is working with the federal Departments of Indian Affairs and Natural Resources on the boundary increase issue.

Final decisions on boundaries for the Nahanni park reserve are likely to become a bargaining point in Dehcho land-claim negotiations.