Despite much of the Yukon's delegation to the Liberal leadership convention havinag voted for Michael Ignatieff, they are now throwing their support behind new leader Stephane Dion.

'He's offering a vision of Canada that has a strong economy and that also has a clean environment,' Yukon MP Larry Bagnell said this morning of the new Liberal leader.

Dion won the party's top position on the fourth ballot in Montreal on Saturday night.

Dion took 54.7 per cent of the votes of 4,605 delegates in a showdown with Toronto MP Michael Ignatieff, who had been the front-runner for much of the eight-month campaign. In the end, 437 ballots separated the two final candidates.

'It was anybody's guess what would happen that day,' Sue Edelman, president of the Yukon's riding association, said this morning. 'It was such an incredible exercise in democracy.'

Edelman had gone to the convention supporting former NHL goalie Ken Dryden. After he was dropped after the second ballot, she placed her support behind Ignatieff.

Bagnell, who had thrown his support behind Ignatieff last August, said he was pleased Dion had won. Dion would have been his second choice, he said, and it was good to see his top two on the final ballot.

The convention was very exciting, said the MP, but he wasn't surprised by the results.

'I knew he needed some help,' said Bagnell.

After Gerard Kennedy joined with Dion following the second ballot, it was clear Dion would likely take the Liberal helm, said Bagnell. Together the two had more votes than either Ignatieff or the other front-runner, former Ontario premier Bob Rae, he said.

Bagnell said Dion will offer much to the Yukon, having fought very hard for the protection of the Arctic National Wildlife Refuge in the past.

Yukon Liberal Leader Arthur Mitchell is also impressed with Dion's record of supporting the protection of the refuge and his experience in Parliament.

'He's very genuine and very thoughtful,' said Mitchell, who voted for Rae at the convention. He later moved his vote to Ignatieff when Rae was dropped after the third ballot.

Bagnell added he intends to continue to push the new leader on issues of importance to the Yukon. They include the promises made in the Kelowna Accord to address gaps between aboriginal and non-aboriginal Canadians, land claim implementation and justice issues.

'It's a real opportunity to look at some issues as a party,' said Edelman.

She said she is pleased the new leader is very interested in environmentalism, an issue of importance to many Yukoners.

'He has a real ability to listen and to remember what he's heard,' she said, adding the Yukon will continue to make sure he is aware of issues in the North.

'He shouldn't be underestimated,' said Shayne Fairman, a local lawyer and Yukon delegate at the convention.

Dion's focus on the environment and economic development will benefit the territory, he said, as will Bagnell's relationship with the new leader.

'Larry has a way of forcing the North's issues onto the agenda,' said Fairman.

Fairman, who supported Ignatieff, said it's always difficult to watch your candidate lose, but he was heartened by the lack of division present at the convention despite the eight candidates' campaigns.

'Everyone had a reason to support who they wanted,' he said. 'It was quite a spectacular event. It was an incredibly positive atmosphere.'

There was a feeling of unification and renewal at the end of the convention, said Bagnell.

None of the candidates criticized each other, he said, and had similar policy goals.

Delegates were very supportive of the choice, he said, and it really was a decision made by the grassroots of the party.

The support and excitement of the new leader continued in Ottawa this morning, said Bagnell.

Dion held his first caucus meeting as leader and received a 10-minute standing ovation, he said. Each of the seven other leadership candidates also stood and paid tribute to the new leader.

The party membership is 'buoyant' right now, said Bagnell, and there seems to be a real excitement among other Canadians and rising favouritism for the Liberal party.

There's a real energy right now, agreed Mitchell, and it is a really exciting time for the federal party.

Over the weekend, the Liberals' popularity in the polls rose by five points, putting them six per cent ahead of the Conservatives.

The Liberals are now at 37 per cent, while Conservatives are at 31 per cent, the NDP at 14 per cent, the Bloc Quebecois at 11 per cent and the Green Party at seven per cent.

'People look at our party and see a real sense of renewal, a real sense of optimism,' said Fairman.

Dion became the 11th leader of the federal Liberal party and its third in a row from Quebec.