I had wondered what happened to this story since it first appeared on CBC here. Apparently it has mutated into this (from CFRB):
CALEDONIA, Ont. (CP) - Financial aid will be flowing from the province to the developer embroiled in an aboriginal land dispute in southern Ontario, but the company insists the money is not a buyout.
It isn't a buyout because the company still "wants work to proceed on the planned 250 homes."
In addition, the Province will be sending $100,000 to Caledonia, to help offset business lost through the blockade.
Wikipedia gives a brief historical overview of the roots of the dispute here.
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