**EXHIBIT      10.6**

**LINE      OF CREDIT AGREEMENT**

**THIS      AGREEMENT**
**NATURALNANO,      INC**
**TECHNOLOGY      INNOVATIONS, LLC**

|   | **1.** | **COMMITMENT**.                The Lender agrees to make loans to the Borrower at any time during                this                Agreement and prior to the Termination Date, in an aggregate principal                amount up to but not exceeding the sum of $500,000 at any one time                outstanding (the “Commitment”). Advances (the “Advances”) shall be                requested and made in accordance with the terms of Section 10(a)                hereof.                During this period, the Borrower may use the Commitment by borrowing,                paying, renewing or prepaying the outstanding balance as reflected                by this                Agreement, in whole or in part, and reborrowing, all in accordance                with                the terms and conditions hereof. The Commitment shall extend through                December 31, 2005, which date shall be the Termination Date. During                the                term of the Commitment, Borrower’s obligations shall be represented by the                Lender’s Promissory Note in the form attached hereto as Exhibit A (the                “Note”). |
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|   | **2.** | **NOTICE                OF BORROWING**.                The Borrower shall give the Lender written notice of the date and                the                amount of each proposed borrowing pursuant to the Commitment, which                notice                shall comply with the requirements of Section 10(a) hereof.                Notwithstanding any provision herein to the contrary, the Borrower                must                provide the Lender at least ten (10) days’ prior written notice before                each Advance. On or before the date specified in such notice, the                Lender                will make the amount then to be loaned by it available to the Borrower. |
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|   | **3.** | **INTEREST**.** **The                Borrower shall pay interest upon the amount at any time outstanding                upon                the Note, at the rate of eight percent (8%) per annum. Interest on                the                outstanding balance of principal advanced shall accrue and be payable                upon                payment or prepayment in full of the unpaid principal                balance. |
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|   | **4.** | **PAYMENT**.                Payment shall be made on the Termination Date in accordance with                the terms                of the Note. All payments (including prepayments) by the Borrower                on                account of principal and interest on either Note shall be made to                the                Lender by corporate check at the address specified in the Note or                by wire                transfer. |
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|   | **5.** | **USE                OF PROCEEDS**.                The proceeds of the loans made hereunder shall be used for the corporate                working capital purposes of the                Borrower. |
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|   | **6.** | **EVENTS                OF DEFAULT**.                Upon the occurrence and continuance of any Event of Default as defined                in                the Note, the Lender may, by notice to the Borrower, declare the                Commitment immediately terminated and/or any amounts outstanding                hereunder                to be forthwith due and payable, whereupon the Commitment shall be                immediately terminated and/or the outstanding principal amount of                the                Note, together with accrued interest thereon, shall become immediately                due                and payable without presentment, demand, protest, or other notice                of any                kind, all of which are hereby expressly waived, notwithstanding anything                contained herein to the contrary. |
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|   | 7. | **MISCELLANEOUS**. |
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|   | a. | Notices.                All notices, requests, and demands to or upon the respective parties                hereto shall be deemed to have been given or made when deposited                in the                mail, postage prepaid, addressed as set forth above or to such other                address as may be hereafter designated in writing by the respective                parties hereto. |
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|   | b. | No                Waiver, Cumulative Remedies, Amendment.                No failure to exercise and no delay in exercising on the part of                the                Lender, any right, power, or privilege hereunder or under either                Note                shall operate as a waiver thereof; nor shall any single or partial                exercise of any right, power, or privilege hereunder preclude any                other or                further exercise thereof or the exercise of any other right, power,                or                privilege. The rights and remedies herein provided are cumulative                and not                exclusive of any rights or remedies provided by law. No modification                or                waiver of any provision of this Agreement nor consent to any departure                by                the Borrower from the provisions hereof shall be effective unless                the same                shall be in writing from the Lender, and then such waiver or consent                shall                be effective only in the specific instance and for the purpose for                which                it is given. No notice to the Borrower shall entitle the Borrower                to any                other or further notice in other similar circumstances unless expressly                provided for herein. No course of dealing between the Borrower and                the                Lender shall operate as a waiver of any of the rights of the Lender                under                this Agreement. |
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|   | c. | Payment                of Fees.                The Borrower agrees to pay all reasonable costs and expenses of the                Lender                in connection with the enforcement of, or the preservation of rights                arising under, the Note, including reasonable legal fees and disbursements                arising in connection therewith. |
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|   | d. | Entire                Agreement.                This Agreement and Exhibit A constitute the entire agreement between                Borrower and Lender with respect to the subject matter hereof and                supersede all prior understandings and agreements, written or oral,                regarding the subject matter. Unless otherwise provided herein, this                Agreement may be modified or amended only by a written consent executed                by                both parties. |
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|   | e. | Successors                and Assigns.                This Agreement shall be binding upon and inure to the benefit of                the                Borrower and the Lender and their respective successors and assigns,                except that the Borrower may not transfer or assign any of its rights                or                interests hereunder without the prior written consent of the                Lender. |
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|   | f. | Construction.                This Agreement and the rights and obligations of the parties hereunder                and                thereunder shall be governed by, and construed in accordance with,                the                laws of the State of New York. Both parties consent to the jurisdiction                of                the state and federal courts located in Rochester, New York with                respect                to any disputes arising between the                parties. |
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**IN      WITNESS WHEREOF**

|   | **BORROWER:**                                 |
|--------|-----------------------------------------------|
|   |                                          |
|   | NATURALNANO, INC.                             |
|   |                                          |   |
|   |                                          |   |
|   | By:                                      |   |
|   | Printed Name: Michael              Riedlinger |
|   | Title: President                              |
|   |                                          |   |
|   |                                          |   |
|   | **LENDER:**                                   |
|   |                                          |
|   | TECHNOLOGY INNOVATIONS,              LLC      |
|   |                                          |   |
|   |                                          |   |
|   | By:                                      |   |
|   | Printed Name:                                 |
|   | Title:                                        |

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