HALIFAX - Independent MP Bill Casey says the Conservative government will have to honour the provisions of the Atlantic Accord before he would entertain a return to caucus.

Casey is reacting to a media report quoting Defence Minister Peter MacKay as saying Casey may be allowed to run again for the Conservatives in the Nova Scotia riding of Cumberland-Colchester-Musquodoboit Valley.

He has already been nominated as the Conservative candidate in the riding and has the support of the Tory riding association.

Casey says the comments appear to be a good starting point, especially since MacKay knows his minimum condition requires that the government reverse changes included in the spring budget that affected Nova Scotia's offshore accord signed in 2005.

He says if that happens, he would at least be willing to discuss returning to the Conservative fold.

Casey, who was expelled from the Conservative caucus for voting against the budget, says he's prepared to run as an Independent should an election be called this fall.