MONTREAL - The Innu of Pessamit voted on Sunday to reject an agreement proposed by Hydro-Québec and the Government of Quebec, which could have settled longstanding legal disputes and paved the way to new energy projects.

Sixty-three per cent of voters rejected the agreement, which had sparked controversy in Pessamit and the broader Innu nation, both for its contents and for the short period of time between the announcement of the deal and the referendum.