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ASSIGNMENT AGREEMENT

THIS AGREEMENT is made effective October 18, 2006

BETWEEN:

NORD RESOURCES CORPORATION, a Delaware
corporation, with an office at 1 West Wetmore Road, Suite 203,
Tucson, Arizona, 85705

(“Nord”)

AND:

TMD ACQUISITION CORPORATION, a Tennessee
corporation, with an address c/o 668 N. Coast Hwy, #171
Laguna Beach, CA 92561

(“TMD Acquisition”)

WHEREAS:

  A.

In May 2004, Nord commenced pursuing an opportunity (the “Opportunity”) to
acquire assets comprising ASARCO Inc.’s (“ASARCO”) Tennessee Mines Division zinc
business (the “Zinc Assets”);

        B.

As a result of Nord’s development efforts, ASARCO subsequently selected Nord as
the primary candidate with whom ASARCO would negotiate the sale and purchase of
the Zinc Assets, and presented Nord with a draft Asset Purchase Agreement in
respect of the Zinc Assets;

        C.

In October, 2004, Nord entered into a secured bridge loan agreement with
Regiment Capital III, L.P. (“Regiment Capital”), the terms of which prevented
Nord from making an investment in, or undertaking any business with respect to,
the Zinc Assets without the prior written consent of Regiment Capital. Regiment
Capital informed Nord that it would not consent to the direct acquisition of the
Zinc Assets by Nord;

        D.

Pursuant to an Agreement of Assignment and Assumption dated October 14, 2004,
Hirsch and Seymour agreed to assist Nord in preserving the Opportunity and, in
conjunction therewith Hirsch and Seymour entered into an Agreement of Option and
Right of First Refusal dated October 14, 2004 with Nord;

        E.

Hirsch and Seymour subsequently assigned their interest and right to acquire the
zinc business to TMD Acquisition, a corporation formed by Hirsch and Seymour to
facilitate an asset purchase agreement dated March 21, 2005 (the “Acquisition
Agreement”) with ASARCO;

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  F.

On August 2, 2005, ASARCO purported to terminate the Acquisition Agreement and
subsequently filed for relief under Chapter 11 of the United States Bankruptcy
Code;

        G.

TMD Acquisition has disputed ASARCO’s position that the Acquisition Agreement
has been terminated, but was advised in May 2006 that the Zinc Assets have been
sold at auction;

        H.

Nord believes that the Zinc Assets were a property of potential merit, and is
desirous of preserving Nord’s right of action against ASARCO and ASARCO’s
trustee in bankruptcy;

        I.

As there are no longer any restrictions imposed by Nord’s current lender in
respect of the Zinc Assets, Nord and TMD Acquisition have agreed that Nord will
take an assignment of the Acquisition Agreement and all other agreements, rights
and obligations related thereto (the “TMD Agreement”); and

        J.

TMD Acquisition wishes to assign all of its rights and obligations under the TMD
Agreement to Nord and Nord wishes to assume all of TMD Acquisition’s rights and
obligations under the TMD Agreement.

NOW THEREFORE THIS AGREEMENT WITNESSES THAT in consideration of the premises and
of the mutual covenants and agreements hereinafter contained, the parties hereto
agree as follows:

1.                     Effective October 18, 2006 (the “Effective Date”) all of
TMD Acquisition’s rights and obligations under the TMD Agreement including
without limitation, any and all claims and causes of action which TMD has or may
have against ASARCO, ASARCO’s bankruptcy estate, ASARCO’s parents, subsidiaries
or affiliates and ASARCO’s directors and officers.

2.                      Nord covenants and agrees that from and after the
Effective Date it will perform all of the duties and obligations on the part of
TMD Acquisition to be performed under the TMD Agreement.

3.                      This Agreement shall enure to the benefit of and be
binding upon the parties hereto and their respective successor and assigns.

4.                      The parties will execute all such further and other
documents or assurances as may be required in order to carry out the terms of
this Agreement.

5.                      This Agreement shall be governed by and in accordance
with the laws of the State of Arizona.

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6.                      This Agreement may be executed in counterparts, which
together shall constitute one instrument. Delivery of an executed copy of this
Agreement by electronic facsimile transmission or other means of electronic
communication capable of producing a printed copy will be deemed to be execution
and delivery of this Agreement as of its effective date.

IN WITNESS WHEREOF the parties hereto have executed this Agreement as of the day
and year first above written.

NORD RESOURCES CORPORATION     TMD ACQUISITION CORPORATION           Per: /s/
John T. Perry   Per: /s/ Ronald A. Hirsch   Authorized Signatory     Authorized
Signatory

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SCHEDULE B
ACCOUNTS PAYABLE

August Law Group $  15,979   Erland Anderson $  1,302   Lang Michener LLP $
 2,374   Roscoe Postle $  78,727   Visani Law $  3,060   Total Accounts Payable
          to be Assumed $ 101,442  

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