Document:

Exhibit
        10.4

    

    GUARANTY

     

    GUARANTY
      (the
      “Guaranty”), dated as of February 11, 2008, by
      Gregory
      Gold Producers, Incorporated, a Colorado corporation, with an address of 900
      IDS
      Center, 80 South Eighth Street, Minneapolis, Minnesota 55402
      (a
“Guarantor”, and collectively with any other party executing this Guaranty, the
“Guarantors”), in favor of Platinum Long Term Growth V, LLC, a Delaware limited
      liability company, with an office at 152 West 57th
      Street,
      54th
      Floor,
      New York, NY 10019 (the “Secured Party”). 

    

    WHEREAS,
      the Guarantors are affiliates of Wits Basin Precious Minerals Inc.
      (the
“Borrower”);
      and

    

    WHEREAS,
      in accordance with a certain senior secured convertible note, dated as of the
      date hereof (the “Note”), executed by the Borrower, and certain related
      agreements between the Borrower and the Secured Party (collectively, as amended,
      restated, or extended from time to time, the “Loan Documents”), the Secured
      Party has agreed to loan to the Borrower up to One Million Twenty Thousand
      Dollars ($1,020,000) (the “Loan”); and

    

    WHEREAS,
      the obligation of the Secured Party to extend the loan is conditioned, among
      other things, upon Guarantors executing and delivering this Guaranty;
      and

    

    WHEREAS,
      the aforesaid Loan will be beneficial to the Guarantors inasmuch as the proceeds
      of the Loan to the Borrower will indirectly benefit the Guarantors;

    

    NOW,
      THEREFORE, in order to induce the Secured Party to make the Loan to the Borrower
      pursuant to the Loan Documents, and for other good and valuable consideration,
      the receipt of which is hereby acknowledged by each of the Guarantors, the
      Guarantors hereby agree as follows:

    

    1.
       Guaranty
      of Payment and Performance. The
      Guarantors hereby jointly and severally guarantee to the Secured Party the
      full
      and punctual payment when due (whether at maturity, by acceleration or
      otherwise), and the performance, of all liabilities, agreements and other
      obligations of the Borrower to the Secured Party, whether direct or indirect,
      absolute or contingent, due or to become due, secured or unsecured, now existing
      or hereafter arising or acquired (whether by way of discount, letter of credit,
      lease, loan, overdraft or otherwise), including without limitation all
      obligations under the Note (collectively, the “Obligations”). This Guaranty is
      an absolute, unconditional and continuing guaranty of the full and punctual
      payment and performance of the Obligations and not of their collectibility
      only
      and is in no way conditioned upon any requirement that the Secured Party first
      attempt to collect any of the Obligations from the Borrower or resort to any
      security or other means of obtaining their payment. Should the Borrower default
      in the payment or performance of any of the Obligations, the obligations of
      each
      Guarantor hereunder shall become immediately due and payable to the Secured
      Party, without demand or notice of any nature, all of which are expressly waived
      by each Guarantor. Payments by each Guarantor hereunder may be required by
      the
      Secured Party on any number of occasions. 

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    2.
       Guarantors’
      Agreement to Pay. Each
      Guarantor further agrees, as the principal obligor and not as a guarantor only,
      to pay to the Secured Party, on demand, all reasonable costs and expenses
      (including court costs and reasonable legal expenses) incurred or expended
      by
      the Secured Party in connection with enforcement of this Guaranty, together
      with
      interest on amounts recoverable under this Guaranty from the time such amounts
      become due under this Guaranty until payment, at the rate per annum equal to
      the
      default rate set forth in the Note; provided that if such interest exceeds
      the
      maximum amount permitted to be paid under applicable law, then such interest
      shall be reduced to such maximum permitted amount.

    

    3. Unlimited
      Guaranty. The
      liability of each Guarantor hereunder shall be unlimited. 

    

    4. Waivers
      by Guarantors; Secured Party’s Freedom to Act. Each
      Guarantor agrees that the Obligations will be paid and performed strictly in
      accordance with their respective terms regardless of any law, regulation or
      order now or hereafter in effect in any jurisdiction affecting any of such
      terms
      or the rights of the Secured Party with respect thereto. Each Guarantor waives
      presentment, demand, protest, notice of acceptance, notice of Obligations
      incurred and all other notices of any kind, all defenses which may be available
      to Borrower by virtue of any valuation, stay, moratorium law or other similar
      law now or hereafter in effect, any right to require the marshalling of assets
      of the Borrower, and all suretyship defenses generally. Without limiting the
      generality of the foregoing, each Guarantor agrees to the provisions of any
      instrument evidencing, securing or otherwise executed in connection with any
      Obligation and agrees that the obligations of each Guarantor hereunder shall
      not
      be released or discharged, in whole or in part, or otherwise affected by
      (i) the
      failure of the Secured Party to assert any claim or demand or to enforce any
      right or remedy against the Borrower; (ii) any
      extensions or renewals of any Obligation; (iii) any
      rescissions, waivers, amendments or modifications of any of the terms or
      provisions of any agreement evidencing, securing or otherwise executed in
      connection with any Obligation; (iv) the
      substitution or release of any entity primarily or secondarily liable for any
      Obligation; (v) the
      adequacy of any rights the Secured Party may have against any collateral or
      other means of obtaining repayment of the Obligations; (vi) the
      impairment of any collateral securing the Obligations, including without
      limitation the failure to perfect or preserve any rights the Secured Party
      might
      have in such collateral or the substitution, exchange, surrender, release,
      loss
      or destruction of any such collateral; or (vii) any
      other act or omission which might in any manner or to any extent vary the risk
      of any Guarantor or otherwise operate as a release or discharge of any other
      Guarantor, all of which may be done without notice to any
      Guarantor.

    

    5. Unenforceability
      of Obligations Against Borrower.
      If for
      any reason the Borrower has no legal existence or is under no legal obligation
      to discharge any of the Obligations, or if any of the Obligations have become
      irrecoverable from the Borrower by operation of law or for any other reason,
      this Guaranty shall nevertheless be binding on each Guarantor to the same extent
      as if each Guarantor at all times had been the principal obligor on all such
      Obligations. In the event that acceleration of the time for payment of the
      Obligations is stayed upon the insolvency, bankruptcy or reorganization of
      the
      Borrower, or for any other reason, all such amounts otherwise subject to
      acceleration under the terms of any agreement evidencing, securing or otherwise
      executed in connection with any Obligation shall be immediately due and payable
      by each Guarantor.

    

    
      
        
        

      

      
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    6. Subrogation;
      Subordination.
      Until
      the payment and performance in full of all Obligations and any and all
      obligations of the Borrower to any affiliate of the Secured Party, no Guarantor
      shall exercise any rights against the Borrower arising as a result of payment
      by
      any Guarantor hereunder, by way of subrogation or otherwise, and will not prove
      any claim in competition with the Secured Party or its affiliates in respect
      of
      any payment hereunder in bankruptcy or insolvency proceedings of any nature;
      no
      Guarantor will claim any set-off or counterclaim against the Borrower in respect
      of any liability of any Guarantor to the Borrower; and each Guarantor waives
      any
      benefit of and any right to participate in any collateral which may be held
      by
      the Secured Party or any such affiliate. The payment of any amounts due with
      respect to any indebtedness of the Borrower now or hereafter held by any
      Guarantor is hereby subordinated to the prior payment in full of the
      Obligations. Each Guarantor agrees that after the occurrence of any default
      in
      the payment or performance of the Obligations, after the expiration of any
      applicable cure period, it will not demand, sue for or otherwise attempt to
      collect after such time any such indebtedness of the Borrower to such Guarantor
      until the Obligations shall have been paid in full. If, notwithstanding the
      foregoing sentence, any Guarantor shall collect, enforce or receive any amounts
      in respect of such indebtedness, such amounts shall be collected, enforced
      and
      received by such Guarantor as trustee for the Secured Party and be paid over
      to
      the Secured Party on account of the Obligations without affecting in any manner
      the liability of any Guarantor under the other provisions of this
      Guaranty.

    

    7. Further
      Assurances.
      Each
      Guarantor agrees to do all such things and execute all such documents, as the
      Secured Party may consider reasonably necessary or desirable to give full effect
      to this Guaranty and to perfect and preserve the rights and powers of the
      Secured Party hereunder.

    

    8. Termination;
      Reinstatement.
      This
      Guaranty shall remain in full force and effect until the Secured Party is given
      written notice of each Guarantor’s intention to discontinue this Guaranty,
      notwithstanding any intermediate or temporary payment or settlement of the
      whole
      or any part of the Obligations. No such notice shall be effective unless
      received and acknowledged by an officer of the Secured Party at its head office.
      No such notice shall affect any rights of the Secured Party or of any affiliate
      hereunder with respect to any Obligations incurred prior to such notice. This
      Guaranty shall continue to be effective or be reinstated, notwithstanding any
      such notice or termination, if at any time any payment made or value received
      with respect to an Obligation is rescinded or must otherwise be returned by
      the
      Secured Party upon the insolvency, bankruptcy or reorganization of the Borrower,
      or otherwise, all as though such payment had not been made or value received.
      

    

    9. Successors
      and Assigns.
      This
      Guaranty shall be jointly and severally binding upon each Guarantor, its
      successors and assigns, and shall inure to the benefit of and be enforceable
      by
      the Secured Party and its successors, transferees and assigns. Without limiting
      the generality of the foregoing sentence, the Secured Party may assign or
      otherwise transfer any agreement or any note held by it evidencing, securing
      or
      otherwise executed in connection with the Obligations, or sell participations
      in
      any interest therein, to any other person or entity, and such other person
      or
      entity shall thereupon become vested, to the extent set forth in the agreement
      evidencing such assignment, transfer or participation, with all the rights
      in
      respect thereof granted to the Secured Party herein.

    

    10. Amendments
      and Waivers.
      No
      amendment or waiver of any provision of this Guaranty nor consent to any
      departure by any Guarantor therefrom shall be effective unless the same shall
      be
      in writing and signed by the Secured Party. No failure on the part of the
      Secured Party to exercise, and no delay in exercising, any right hereunder
      shall
      operate as a waiver thereof; nor shall any single or partial exercise of any
      right hereunder preclude any other or further exercise thereof or the exercise
      of any other right.

    

    
      
        
        

      

      
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    11. Notices.
      All
      notices and other communications called for hereunder shall be made in writing
      and, unless otherwise specifically provided herein, shall be deemed to have
      been
      duly made or given when delivered by hand or mailed first class mail postage
      prepaid or, in the case of telegraphic or telexed notice, when transmitted,
      answer back received, to the addresses set forth above, or at such address
      as
      either party may designate in writing.

    

    12. Governing
      Law; Consent to Jurisdiction.
      This
      Guaranty shall be governed by, and construed in accordance with, the laws of
      the
      State of New York without reference to its conflicts of laws provisions. Each
      Guarantor agrees that any suit for the enforcement of this Guaranty may be
      brought in the courts of the State of New York or any federal court sitting
      therein and consents to the non-exclusive jurisdiction of such court and to
      service of process in any such suit being made upon the Guarantors by mail
      at
      the address specified in Section 11 hereof. Each Guarantor hereby waives any
      objection that it may now or hereafter have to the venue of any such suit or
      any
      such court or that such suit was brought in an inconvenient court. Any
      enforcement action relating to this Guaranty may be brought by motion for
      summary judgment in lieu of a complaint pursuant to Section 3213 of the New
      York
      Civil Practice Law and Rules.

    

    13. WAIVER
      OF JURY TRIAL. EACH GUARANTOR AND, BY ITS ACCEPTANCE OF THIS GUARANTY, THE
      SECURED PARTY, HEREBY WAIVES TRIAL BY JURY IN ANY LITIGATION IN ANY COURT WITH
      RESPECT TO, IN CONNECTION WITH, OR ARISING OUT OF: (A) THIS GUARANTY OR ANY
      OTHER INSTRUMENT OR DOCUMENT DELIVERED IN CONNECTION WITH THE OBLIGATIONS;
      (B) THE VALIDITY, INTERPRETATION, COLLECTION OR ENFORCEMENT THEREOF; OR
      (C) ANY OTHER CLAIM OR DISPUTE HOWEVER ARISING BETWEEN ANY GUARANTOR AND
      THE SECURED PARTY.

    

    14. Certain
      References.
      All
      pronouns and any variations thereof shall be deemed to refer to the masculine,
      feminine, neuter, singular or plural, as the identity of the person, persons,
      entity or entities may require. The terms “herein”, “hereof” or “hereunder” or
      similar terms used in this Guaranty refer to this entire Guaranty and not only
      to the particular provision in which the term is used.

    

    15. Miscellaneous.
      This
      Guaranty, together with the Security Agreement, delivered by the Guarantors
      as
      of the date hereof to the Secured Party, constitutes the entire agreement of
      the
      Guarantors with respect to the matters set forth herein. The rights and remedies
      herein provided are cumulative and not exclusive of any remedies provided by
      law
      or any other agreement, and this Guaranty shall be in addition to any other
      guaranty of the Obligations. The invalidity or unenforceability of any one
      or
      more sections of this Guaranty shall not affect the validity or enforceability
      of its remaining provisions. Captions are for the ease of reference only and
      shall not affect the meaning of the relevant provisions. The meanings of all
      defined terms used in this Guaranty shall be equally applicable to the singular
      and plural, masculine, feminine and generic forms of the terms
      defined.

    

    
      
        
        

      

      
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    IN
      WITNESS WHEREOF,
      each
      Guarantor has caused this Guaranty to be executed and delivered as of the date
      appearing in the introductory paragraph of this Guaranty.

     

    
      
        	 	
                GREGORY
                  GOLD PRODUCERS, INCORPORATED

              
	 	 
	 	
                By: 

              	
                  /s/
                  Mark D. Dacko

              
	 	 	
                Name:
                  Mark D. Dacko

                Title:
                  Chief Financial Officer

              

      

    

     

     

    Signature
      Page

    to
      Guaranty

     

    
      
        
        

      

      
        5Exhibit
      10.5

     

    AMENDED
      AND RESTATED PLEDGE AGREEMENT

     

    Wits
      Basin Precious Minerals Inc.

    

    THIS
      AMENDED AND RESTATED PLEDGE AGREEMENT (this “Agreement”),
      is
      entered into as of February 7, 2008 by and between Wits Basin Precious
      Minerals Inc., a Minnesota corporation (“Pledgor”),
      and
China
      Gold, LLC, a Kansas limited liability company, together with its successors
      and
      assigns and all other holders of securities and equity interests pursuant to
      the
      Convertible Notes Purchase Agreement (hereinafter defined) (together with its
      respective successors and assigns, “Purchaser”).

     

    RECITALS

     

    The
      following recitals are a material part of this Agreement.

     

    A. Pledgor
      and Purchaser are parties to that certain Convertible Notes Purchase Agreement
      dated as of April 10, 2007 as amended from time to time (as the same may
      hereafter be further modified, amended, restated or supplemented from time
      to
      time, the “Securities
      Purchase Agreement”),
      pursuant to which, among other things, Pledgor has agreed to issue and sell,
      and
      Purchaser has agreed to purchase from Pledgor, one
      or
      more Secured Convertible Notes in the aggregate principal amount of up to
      $12,000,000 (“Notes”).
      Capitalized terms used in this Agreement without definition have the definitions
      given to them in the Securities Purchase Agreement.

     

    B. Pursuant
      to the Securities Purchase Agreement, Pledgor and Purchaser entered into that
      certain Pledge Agreement dated as of April 10, 2007 (“Original Pledge
      Agreement”) whereby Pledgor pledged certain shares of common stock of Wits-China
      Acquisition Company, Inc., a Minnesota corporation and wholly-owned subsidiary
      of Pledgor (“Wits-China”), then and thereafter owned by Pledgor, in order to
      provide security for the obligations of Pledgor to Purchaser pursuant to the
      terms of the Securities Purchase Agreement.

     

    C. Section
      3.11 of the Securities Purchase Agreement provides that Purchaser shall receive
      Security Documents, in form and substance satisfactory to Purchaser, granting
      Purchaser a security interest in all of the assets acquired from the use of
      proceeds for its purchase of the Notes. 

     

    D. Pledgor
      has advised Purchaser that it has acquired or established China Global Mining
      Resources Limited, a Hong Kong corporation, and China Global Mining Resources
      Limited, a British Virgin Islands corporation, which holds assets acquired
      with
      Note proceeds received from Purchaser and that it beneficially owns certain
      Equity Interests (as hereinafter defined) in both of theses
      entities.

     

    E. To
      comply
      with the terms of the Securities Purchase Agreement, Pledgor desires amend
      the
      Original Pledge Agreement to pledge, grant, transfer, and assign to Purchaser
      a
      security interest in the Collateral (as hereinafter defined) to secure the
      Secured Obligations (as hereinafter defined), as provided in this
      Agreement.

    
      
         

      

      
         

        
          

        

      

       

    

    AGREEMENT

     

    NOW,
      THEREFORE, in consideration of these recitals and for good and valuable
      consideration, the receipt of sufficiency of which is hereby acknowledged and
      intending to be legally bound hereby, Pledgor and Purchaser amend and restate
      the Original Stock Pledge Agreement and agree as follows:

     

    1. Pledge.
      As
      security for the prompt payment and performance of the Secured Obligations
      (defined below) in full when due, whether at stated maturity, by acceleration
      or
      otherwise (including amounts that would become due but for the operation of
      the
      provisions of the United States Bankruptcy Code (11 U.S.C. Section 101,
et seq.),
      as in
      effect from time to time, and any successor statute thereto (“Bankruptcy
      Code”)),
      Pledgor by this Agreement pledges, grants, transfers, and assigns to Purchaser
      a
      security interest in all of Pledgor’s right, title, and interest in and to the
      Collateral (defined below). 

     

    For
      the
      purposes of this Agreement, (a) “Collateral”
means
      Pledgor’s interest in the Pledged Interests, the Future Rights, and the
      Proceeds, collectively; (b) “Pledged
      Interests”
means
      (i) all Equity Interests of Pledgor, and (ii) the certificates or instruments
      representing such Equity Interests, if any; (c) “Equity
      Interests”
means
      all securities, shares, units, options, warrants, interests, participations,
      or
      other equivalents (regardless of how designated) of Wits-China Acquisition
      Corp.
      a Minnesota corporation, China Global Mineral Resources, Inc., a British Virgin
      Islands corporation, and China Global Mineral Resources, a Hong Kong corporation
      (collectively the “Subsidiaries”);
      (d)
“Future
      Rights”
means:
      (x) all Equity Interests (other than Pledged Interests) of Pledgor, and all
      securities convertible or exchangeable into, and all warrants, options, or
      other
      rights to purchase, Equity Interests of Pledgor; and (y) the certificates or
      instruments representing such Equity Interests, convertible or exchangeable
      securities, warrants, and other rights and all dividends, cash, options,
      warrants, rights, instruments, and other property or proceeds from time to
      time
      received, receivable, or otherwise distributed in respect of or in exchange
      for
      any or all of such Equity Interests; and (e) “Proceeds”
means
      all proceeds (including proceeds of proceeds) of the Pledged Interests and
      Future Rights including all: (I) rights, benefits, distributions, premiums,
      profits, dividends, interest, cash, instruments, documents of title, accounts,
      contract rights, inventory, equipment, general intangibles, payment intangibles,
      deposit accounts, chattel paper, and other property from time to time received,
      receivable, or otherwise distributed in respect of or in exchange for, or as
      a
      replacement of or a substitution for, any of the Pledged Interests, Future
      Rights, or proceeds thereof (including any cash, Equity Interests, or other
      securities or instruments issued after any recapitalization, readjustment,
      reclassification, merger or consolidation with respect to Pledgor and any
      security entitlements, as defined in Section 8-102(a)(17) of the Uniform
      Commercial Code, with respect thereto); (II) “proceeds,” as such term is defined
      in Section 9-102(a)(64) of the Uniform Commercial Code; (III) proceeds of any
      insurance, indemnity, warranty, or guaranty (including guaranties of delivery)
      payable from time to time with respect to any of the Pledged Interests, Future
      Rights, or proceeds thereof; (VI) payments (in any form whatsoever) made or
      due
      and payable to Pledgor from time to time in connection with any requisition,
      confiscation, condemnation, seizure or forfeiture of all or any part of the
      Pledged Interests, Future Rights, or proceeds thereof; and (V) other amounts
      from time to time paid or payable under or in connection with any of the Pledged
      Interests, Future Rights, or proceeds thereof.

    
      
         

      

      
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    2. Secured
      Obligations.
      The
      obligations secured by this Agreement (the “Secured
      Obligations”)
      are
      all liabilities, obligations, or undertakings owing by Pledgor or Subsidiary
      to
      Purchaser of any kind or description arising out of or outstanding under,
      advanced or issued pursuant to, or evidenced by this Agreement, or the other
      Investment Documents, irrespective of whether for the payment of money, whether
      direct or indirect, absolute or contingent, due or to become due, voluntary
      or
      involuntary, whether now existing or hereafter arising, and including all
      interest (including interest that accrues after the filing of a case under
      the
      Bankruptcy Code) and any and all costs, fees (including attorneys fees), and
      expenses which Pledgor is required to pay pursuant to any of the foregoing,
      by
      law, or otherwise.

     

    3. Delivery
      and Registration of Collateral.
      

     

    (a) All
      certificates or instruments representing or evidencing the Collateral shall
      be
      promptly delivered by Pledgor to Purchaser or Purchaser’s designees pursuant to
      this Agreement at a location designated by Purchaser and shall be held by or
      on
      behalf of Purchaser pursuant to this Agreement, and shall be in suitable form
      for transfer by delivery, or shall be accompanied by a duly executed instrument
      of transfer or assignment in blank, in form and substance satisfactory to
      Purchaser.

     

    (b) Upon
      the
      occurrence and during the continuance of an Event of Default, Purchaser shall
      have the right, at any time in their discretion and without notice to Pledgor,
      to transfer to or to register on the books of Subsidiary (or of any other Person
      maintaining records with respect to the Collateral) in the name of Purchaser
      or
      any of its nominees any or all of the Collateral. In addition, Purchaser shall
      have the right at any time to exchange certificates or instruments representing
      or evidencing Collateral for certificates or instruments of smaller or larger
      denominations.

     

    (c) If,
      at
      any time and from time to time, any Collateral (including any certificate or
      instrument representing or evidencing any Collateral) is in the possession
      of a
      Person other than Purchaser or Pledgor (a “Holder”),
      then
      Pledgor shall immediately, at Purchaser’s option, either cause such Collateral
      to be delivered into Purchaser’s possession, or cause such Holder to enter into
      a control agreement, in form and substance satisfactory to Purchaser, and take
      all other steps deemed necessary by Purchaser to perfect the security interest
      of Purchaser in such Collateral, all pursuant to Sections 9-106 and 9-313 of
      the
      Uniform Commercial Code or other applicable law governing the perfection of
      Purchaser’s security interest in the Collateral in the possession of such
      Holder.

     

    (d) Any
      and
      all Collateral (including dividends, interest, and other cash distributions)
      at
      any time received or held by Pledgor shall be so received or held in trust
      for
      Purchaser, shall be segregated from other funds and property of Pledgor and
      shall be forthwith delivered to Purchaser in the same form as so received or
      held, with any necessary endorsements; provided that cash dividends or
      distributions received by Pledgor may be retained by Pledgor in accordance
      with
Section
      4.

     

    (e) If
      at any
      time, and from time to time, any Collateral consists of an uncertificated
      security or a security in book entry form, then Pledgor shall immediately cause
      such Collateral to be registered or entered, as the case may be, in the name
      of
      Purchaser, or otherwise cause Purchaser’s security interest thereon to be
      perfected in accordance with applicable law.

    
      
         

      

      
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    4. Voting
      Rights and Dividends.

     

    (a) So
      long
      as no Event of Default shall have occurred and be continuing, Pledgor shall
      be
      entitled to exercise any and all voting and other consensual rights pertaining
      to the Collateral or any part thereof for any purpose not inconsistent with
      the
      terms of the Investment Documents and shall be entitled to receive and retain
      any cash dividends or distributions paid or distributed in respect of the
      Collateral.

     

    (b) Upon
      the
      occurrence and during the continuance of an Event of Default, all rights of
      Pledgor to exercise the voting and other consensual rights or receive and retain
      cash dividends or distributions that it would otherwise be entitled to exercise
      or receive and retain, as applicable pursuant to Section
      4(a),
      shall
      cease, and all such rights shall thereupon become vested in Purchaser, who
      shall
      thereupon have the sole right to exercise such voting or other consensual rights
      and to receive and retain such cash dividends and distributions. Pledgor shall
      execute and deliver (or cause to be executed and delivered) to Purchaser all
      such proxies and other instruments as Purchaser may reasonably request for
      the
      purpose of enabling Purchaser to exercise the voting and other rights which
      they
      are entitled to exercise and to receive the dividends and distributions that
      they are entitled to receive and retain pursuant to the preceding sentence.
      

     

    5. Representations
      and Warranties.
      Pledgor
      represents, warrants, and covenants as follows:

     

    (a) Pledgor
      has the authority to pledge the Pledged Interests to Purchaser under the terms
      of this Agreement.

     

    (b) Pledgor
      has taken all steps it deems necessary or appropriate to be informed on a
      continuing basis of changes or potential changes affecting the Collateral
      (including rights of conversion and exchange, rights to subscribe, payment
      of
      dividends, reorganizations or recapitalization, tender offers and voting and
      registration rights), and Pledgor agrees that Purchaser shall have no
      responsibility or liability for informing Pledgor of any such changes or
      potential changes or for taking any action or omitting to take any action with
      respect thereto.

     

    (c) All
      information in this Agreement or hereafter supplied to Purchaser by or on behalf
      of Pledgor in writing with respect to the Collateral is, or in the case of
      information hereafter supplied will be, accurate and complete in all material
      respects.

     

    (d) Pledgor
      is and will be the sole legal and beneficial owner of the Collateral (including
      the Pledged Interests and all other Collateral acquired by Pledgor after the
      date hereof) free and clear of any adverse claim, Lien, or other right, title,
      or interest of any party, other than the Liens in favor of
      Purchaser.

     

    (e) This
      Agreement, and the filing of a UCC financing statement with the Minnesota
      Secretary of State describing the Collateral, creates a valid, perfected
      security interest in the Pledged Interests in favor of Purchaser securing
      payment of the Secured Obligations, and all actions necessary to achieve such
      perfection have been duly taken.

    
      
         

      

      
        4

        
          

        

      

       

    

    (f) Schedule
      1
      to this
      Agreement is true and correct and complete in all material respects. Without
      limiting the generality of the foregoing: (i) except as set forth on
Schedule
      1,
      all the
      Pledged Interests are in uncertificated form, and, except to the extent
      registered in the name of Purchaser or its nominees pursuant to the provisions
      of this Agreement, are registered in the name of Pledgor; and (ii) as of the
      date of this Agreement, the Pledged Interests as to Subsidiary constitute at
      least the percentage of all the fully diluted issued and outstanding Equity
      Interests of Subsidiary as set forth in Schedule
      1
      to this
      Agreement.

     

    (g) There
      are
      no presently existing Future Rights or Proceeds owned by Pledgor.

     

    (h) The
      Pledged Interests have been duly authorized and validly issued and are fully
      paid and non-assessable.

     

    (i) Neither
      the pledge of the Collateral pursuant to this Agreement nor the extensions
      of
      credit represented by the Secured Obligations violates Regulation T, U or X
      of
      the Board of Governors of the Federal Reserve System.

     

    6. Further
      Assurances.

     

    (a) Pledgor
      agrees that from time to time, at the expense of Pledgor, Pledgor will promptly
      execute and deliver all further instruments and documents, and take all further
      action that may be necessary or reasonably desirable, or that Purchaser may
      request, in order to perfect and protect any security interest granted or
      purported to be granted by this Agreement or to enable Purchaser to exercise
      and
      enforce their rights and remedies under this Agreement with respect to any
      Collateral. Without limiting the generality of the foregoing, Pledgor will:
      (i)
      at the request of Purchaser, mark conspicuously each of its records pertaining
      to the Collateral with a legend, in form and substance reasonably satisfactory
      to Purchaser, indicating that such Collateral is subject to the security
      interest granted by this Agreement; (ii) execute such instruments or notices
      as
      may be necessary or reasonably desirable, or as Purchaser may request, in order
      to perfect and preserve the Liens granted or purported to be granted by this
      Agreement; (iii) allow inspection of the Collateral by Purchaser or Persons
      designated by Purchaser; and (iv) appear in and defend any action or proceeding
      that may affect Pledgor’s title to or Purchaser’s security interest in the
      Collateral.

     

    (b) Pledgor
      by this Agreement authorizes Purchaser to file one or more financing or
      continuation statements, and amendments thereto, relative to all or any part
      of
      the Collateral. A carbon, photographic, or other reproduction of this Agreement
      or any financing statement covering the Collateral or any part thereof shall
      be
      sufficient as a financing statement where permitted by law.

    
      
         

      

      
        5

        
          

        

      

       

    

    (c) Pledgor
      will furnish to Purchaser, upon the request of Purchaser: (i) a certificate
      executed by Pledgor, and dated as of the date of delivery to Purchaser,
      itemizing in such detail as Purchaser may request, the Collateral which, as
      of
      the date of such certificate, has been delivered to Purchaser by Pledgor
      pursuant to the provisions of this Agreement; and (ii) such statements and
      schedules further identifying and describing the Collateral and such other
      reports in connection with the Collateral as Purchaser may request.

     

    7. Covenants
      of Pledgor.
      Pledgor
      shall:

     

    (a) To
      the
      extent it may lawfully do so, use its best efforts to prevent Subsidiary from
      issuing Future Rights or Proceeds; and

     

    (b) Upon
      receipt by Pledgor of any material notice, report, or other communication from
      Subsidiary or any Holder relating to all or any part of the Collateral, deliver
      such notice, report or other communication to Purchaser as soon as possible,
      but
      in no event later than five (5) days following the receipt thereof by
      Pledgor.

     

    8. Purchaser
      as Pledgor’s Attorneys-in-Fact.

     

    (a) Pledgor
      by this Agreement irrevocably appoints Purchaser as Pledgor’s attorneys-in-fact,
      with full authority in the place and stead of Pledgor and in the name of
      Pledgor, Purchaser or otherwise, to enter into any control agreements Purchaser
      deems necessary pursuant to Section
      3
      of this
      Agreement, and from time to time at Purchaser’s discretion, upon the occurrence
      and during the continuance of an Event of Default, to take any action and to
      execute any instrument that Purchaser may reasonably deem necessary or advisable
      to accomplish the purposes of this Agreement, including: (i),to receive,
      indorse, and collect all instruments made payable to Pledgor representing any
      dividend, interest payment or other distribution in respect of the Collateral
      or
      any part thereof to the extent permitted under this Agreement and to give full
      discharge for the same and to execute and file governmental notifications and
      reporting forms; or (ii) to arrange for the transfer of the Collateral on the
      books of Subsidiary or any other Person to the name of Purchaser or to the
      names
      of Purchaser’s nominees.

     

    (b) In
      addition to the designation of Purchaser as Pledgor’s attorneys-in-fact in
      subsection (a), Pledgor by this Agreement irrevocably appoints Purchaser as
      Pledgor’s agents and attorneys-in-fact to make, execute and deliver after the
      occurrence and during the continuance of an Event of Default any and all
      documents and writings which may be necessary or appropriate for approval of,
      or
      be required by, any regulatory authority located in any city, county, state
      or
      country where Pledgor or Subsidiary engage in business, in order to transfer
      or
      to more effectively transfer any of the Pledged Interests or otherwise enforce
      Purchaser’s rights under this Agreement.

    
      
         

      

      
        6

        
          

        

      

       

    

    9. Remedies
      upon Default.
      Upon
      the occurrence and during the continuance of an Event of Default:

     

    (a) Purchaser
      may exercise in respect of the Collateral, in addition to other rights and
      remedies provided for in this Agreement or otherwise available to it, all the
      rights and remedies of a secured party on default under the Uniform Commercial
      Code (irrespective of whether the Uniform Commercial Code applies to the
      affected items of Collateral), and Purchaser may also without notice (except
      as
      specified below) sell the Collateral or any part thereof in one or more parcels
      at public or private sale, at any exchange, broker’s board or at any of
      Purchaser’s office or elsewhere, for cash, on credit or for future delivery, at
      such time or times and at such price or prices and upon such other terms as
      Purchaser may deem commercially reasonable, irrespective of the impact of any
      such sales on the market price of the Collateral. To the maximum extent
      permitted by applicable law, Purchaser may be the purchaser of any or all of
      the
      Collateral at any such sale and shall be entitled, for the purpose of bidding
      and making settlement or payment of the purchase price for all or any portion
      of
      the Collateral sold at any such public sale, to use and apply all or any part
      of
      the Secured Obligations as a credit on account of the purchase price of any
      Collateral payable at such sale. Each purchaser at any such sale shall hold
      the
      property sold absolutely free from any claim or right on the part of Pledgor,
      and Pledgor by this Agreement waives (to the extent permitted by law) all rights
      of redemption, stay, or appraisal that it now has or may at any time in the
      future have under any rule of law or statute now existing or hereafter enacted.
      Pledgor agrees that, to the extent notice of sale shall be required by law,
      at
      least ten (10) calendar days notice to Pledgor of the time and place of any
      public sale or the time after which a private sale is to be made shall
      constitute reasonable notification. Purchaser shall not be obligated to make
      any
      sale of Collateral regardless of notice of sale having been given. Purchaser
      may
      adjourn any public or private sale from time to time by announcement at the
      time
      and place fixed therefor, and such sale may, without further notice, be made
      at
      the time and place to which it was so adjourned. To the maximum extent permitted
      by law, Pledgor by this Agreement waives any claims against Purchaser arising
      because the price at which any Collateral may have been sold at such a private
      sale was less than the price that might have been obtained at a public sale,
      even if Purchaser accepts the first offer received and do not offer such
      Collateral to more than one offeree.

     

    (b) Pledgor
      by this Agreement agrees that any sale or other disposition of the Collateral
      conducted in conformity with reasonable commercial practices of banks, insurance
      companies, or other financial institutions in the city and state where Purchaser
      is located in disposing of property similar to the Collateral shall be deemed
      to
      be commercially reasonable.

     

    (c) Pledgor
      by this Agreement acknowledges that the sale by Purchaser of any Collateral
      pursuant to the terms hereof in compliance with the Securities Act of 1933
      as
      now in effect or as hereafter amended, or any similar statute hereafter adopted
      with similar purpose or effect (the “Securities
      Act”),
      as
      well as applicable “Blue Sky” or other state securities laws, may require strict
      limitations as to the manner in which Purchaser or any subsequent transferee
      of
      the Collateral may dispose thereof. Pledgor acknowledges and agrees that in
      order to protect Purchaser’s interest it may be necessary to sell the Collateral
      at a price less than the maximum price attainable if a sale were delayed or
      were
      made in another manner, such as a public offering under the Securities Act.
      Pledgor has no objection to sale in such a manner and agrees that Purchaser
      shall have no obligation to obtain the maximum possible price for the
      Collateral. Without limiting the generality of the foregoing, Pledgor agrees
      that upon the occurrence and during the continuation of an Event of Default,
      Purchaser may, subject to applicable law, from time to time attempt to sell
      all
      or any part of the Collateral by a private placement, restricting the bidders
      and prospective Purchaser to those who will represent and agree that they are
      purchasing for investment only and not for distribution. In so doing, Purchaser
      may solicit offers to buy the Collateral or any part thereof for cash from
      a
      limited number of investors reasonably believed by Purchaser to be institutional
      investors or other accredited investors who might be interested in purchasing
      the Collateral. If Purchaser shall solicit such offers, then the acceptance
      by
      Purchaser of one of the offers shall be deemed to be a commercially reasonable
      method of disposition of the Collateral.

    
      
         

      

      
        7

        
          

        

      

       

    

    Pledgor
      acknowledges that there is no adequate remedy at law for failure by it to comply
      with the provisions of this Section and that such failure would not be
      adequately compensable in damages, and therefore agrees that its agreements
      contained in this Section may be specifically enforced.

     

    (d) PLEDGOR
      EXPRESSLY WAIVES TO THE MAXIMUM EXTENT PERMITTED BY LAW: (i) ANY CONSTITUTIONAL
      OR OTHER RIGHT TO A JUDICIAL HEARING PRIOR TO THE TIME PURCHASER DISPOSES OF
      ALL
      OR ANY PART OF THE COLLATERAL AS PROVIDED IN THIS SECTION; (ii) ALL RIGHTS
      OF
      REDEMPTION, STAY, OR APPRAISAL THAT IT NOW HAS OR MAY AT ANY TIME IN THE FUTURE
      HAVE UNDER ANY RULE OF LAW OR STATUTE NOW EXISTING OR HEREAFTER ENACTED; AND
      (iii) EXCEPT AS SET FORTH IN SUBSECTION (a) OF THIS SECTION
      9,
      ANY
      REQUIREMENT OF NOTICE, DEMAND, OR ADVERTISEMENT FOR SALE.

     

    10. Application
      of Proceeds.
      Upon
      the occurrence and during the continuance of an Event of Default, any cash
      held
      by Purchaser as Collateral and all cash Proceeds received by Purchaser in
      respect of any sale of, collection from, or other realization upon all or any
      part of the Collateral pursuant to the exercise by Purchaser of their remedies
      as secured creditors as provided in Section 9 shall be applied from time to
      time
      by Purchaser as provided in Section 9-615 of the Uniform Commercial
      Code.

     

    11. Indemnity
      and Expenses.
      Pledgor
      agrees:

     

    (a) To
      indemnify and hold harmless Purchaser and each of their directors, officers,
      employees, agents and affiliates from and against any and all claims, damages,
      demands, losses, obligations, judgments and liabilities (including, without
      limitation, reasonable attorneys’ fees and expenses) in any way arising out of
      or in connection with this Agreement or the Secured Obligations, except to
      the
      extent the same shall arise as a result of the gross negligence or willful
      misconduct of the party seeking to be indemnified; and

     

    (b) To
      pay
      and reimburse Purchaser upon demand for all reasonable costs and expenses
      (including, without limitation, reasonable attorneys’ fees and expenses) that
      Purchaser may incur in connection with (i) the custody, use or preservation
      of,
      or the sale of, collection from or other realization upon, any of the
      Collateral, including the reasonable expenses of re-taking, holding, preparing
      for sale or lease, selling or otherwise disposing of or realizing on the
      Collateral, (ii) the exercise or enforcement of any rights or remedies granted
      under this Agreement or under any of the other Investment Documents or otherwise
      available to them (whether at law, in equity or otherwise), or (iii) the failure
      by Pledgor to perform or observe any of the provisions hereof. The provisions
      of
      this Section shall survive the execution and delivery of this Agreement, the
      repayment of any of the Secured Obligations, and the termination of this
      Agreement or any other Investment Document.

     

    12. Duties
      of Purchaser.
      The
      powers conferred on Purchaser under this Agreement are solely to protect their
      interests in the Collateral and shall not impose on them any duty to exercise
      such powers. Except as provided in Section 9-207 of the Uniform Commercial
      Code,
      Purchaser shall have no duty with respect to the Collateral or any
      responsibility for taking any necessary steps to preserve rights against any
      Persons with respect to any Collateral.

    
      
         

      

      
        8

        
          

        

      

       

    

    13. Amendments;
      etc.
      No
      amendment or waiver of any provision of this Agreement nor consent to any
      departure by Pledgor from this Agreement shall in any event be effective unless
      the same shall be in writing and signed by Purchaser and Pledgor, and then
      such
      waiver or consent shall be effective only in the specific instance and for
      the
      specific purpose for which given. No failure on the part of Purchaser to
      exercise, and no delay in exercising any right under this Agreement, any other
      Investment Document, or otherwise with respect to any of the Secured
      Obligations, shall operate as a waiver thereof; nor shall any single or partial
      exercise of any right under this Agreement, any other Investment Document,
      or
      otherwise with respect to any of the Secured Obligations preclude any other
      or
      further exercise thereof or the exercise of any other right. The remedies
      provided for in this Agreement or otherwise with respect to any of the Secured
      Obligations are cumulative and not exclusive of any remedies provided by
      law.

     

    14. Notices.
      Unless
      otherwise specifically provided in this Agreement, all notices shall be in
      writing addressed to the respective party as set forth below, and may be
      personally served, faxed, or sent by overnight courier service or United States
      mail:

     

    If
      to
      Pledgor:

    

    Wits
      Basin Precious Minerals Inc.

    80
      South
      Eighth Street, Suite 900

    Minneapolis,
      MN 55402-8773

    Attn:
      Mark Dacko, Chief Financial Officer

    Facsimile:
      (612) 395-5276

    

    with
      a
      copy to:

     

    Maslon
      Edelman Borman & Brand, LLP

    3300
      Wells Fargo Center

    90
      South
      Seventh Street

    Minneapolis,
      MN 55402-4140

    Attn:
      William Mower, Esq.

    Facsimile:
      (612) 642-8358

    

    If
      to
      Purchaser:

     

    China
      Gold, LLC

    7300
      College Boulevard, Suite 303

    Overland
      Park, KS 66210

    Attn:
      C.
      Andrew Martin

    Facsimile:
      816-753-5117

    
      
         

      

      
        9

        
          

        

      

       

    

    with
      a
      copy to:

     

    William
      M. Schutte, Esq.

    Polsinelli
      Shalton Flanigan Suelthaus PC

    6201
      College Boulevard, Suite 500

    Overland
      Park, KS 66211

    Facsimile:
      913-451-6205

    

    Any
      notice given pursuant to this Section shall be deemed to have been given: (a)
      if
      delivered in person, when delivered; (b) if delivered by fax, on the date of
      transmission if transmitted on a Business Day before 5:00 p.m. at the place
      of
      receipt or, if not, on the next succeeding Business Day; (c) if delivered by
      overnight courier, two (2) days after delivery to such courier properly
      addressed; or (d) if by United States mail, four (4) Business Days after
      depositing in the United States mail, with postage prepaid and properly
      addressed. Any party to this Agreement may change the address or fax number
      at
      which it is to receive notices under this Agreement by notice to the other
      party
      in writing in the foregoing manner.

     

    15. Continuing
      Security Interest.
      This
      Agreement shall create a continuing security interest in the Collateral and
      shall: (a) remain in full force and effect until the indefeasible payment in
      full of the Secured Obligations; (b) be binding upon Pledgor and its successors
      and assigns; and (c) inure to the benefit of Purchaser and their successors,
      transferees, and assigns. Upon the indefeasible payment in full of the Secured
      Obligations, the security interests granted in this Agreement shall
      automatically terminate and all rights to the Collateral shall revert to
      Pledgor. Upon any such termination, Purchaser will, at Pledgor’s expense,
      execute and deliver to Pledgor such documents as Pledgor shall reasonably
      request to evidence such termination. Such documents shall be prepared by
      Pledgor and shall be in form and substance reasonably satisfactory to
      Purchaser.

     

    16. Security
      Interest Absolute.
      To the
      maximum extent permitted by law, all rights of Purchaser, all security interests
      under this Agreement, and all obligations of Pledgor under this Agreement,
      shall
      be absolute and unconditional irrespective of:

     

    (a) any
      lack
      of validity or enforceability of any of the Secured Obligations or any other
      agreement or instrument relating thereto, including any of the Investment
      Documents;

     

    (b) any
      change in the time, manner, or place of payment of, or in any other term of,
      all
      or any of the Secured Obligations, or any other amendment or waiver of or any
      consent to any departure from any of the Investment Documents, or any other
      agreement or instrument relating thereto;

     

    (c) any
      exchange, release, or non-perfection of any other collateral, or any release
      or
      amendment or waiver of or consent to departure from any guaranty for all or
      any
      of the Secured Obligations; or

     

    (d) any
      other
      circumstances that might otherwise constitute a defense available to, or a
      discharge of, Pledgor.

     

     

    
      
         

      

      
        10

        
          

        

      

       

    

    17. Construction.
      Section
      and subsection headings in this Agreement are included in this Agreement for
      convenience of reference only and shall not constitute a part of this Agreement
      or be given any substantive effect.
      Unless
      the context of this Agreement clearly requires otherwise, references to the
      plural include the singular and to the singular include the plural, the part
      includes the whole, the term “including” is not limiting, and the term “or” has,
      except where otherwise indicated, the inclusive meaning represented by the
      phrase “and/or.” The words “hereof,” “herein,” “hereby,” “hereunder,” and other
      similar terms in this Agreement refer to this Agreement as a whole and not
      exclusively to any particular provision of this Agreement. Article, section,
      subsection, exhibit, and schedule references are to this Agreement unless
      otherwise specified. All of the exhibits or schedules attached to this Agreement
      shall be deemed incorporated in this Agreement by reference. Any reference
      to
      any of the following documents includes any and all alterations, amendments,
      restatements, extensions, modifications, renewals, or supplements thereto or
      thereof, as applicable: this Agreement or any of the other Investment
      Documents.
      No
      inference in favor of, or against, any party shall be drawn from the fact that
      such party has drafted any portion of this Agreement, each party having been
      represented by counsel of its choice in connection with the negotiation and
      preparation of this Agreement and the other Investment Documents. 

     

    18. Interpretation.
      Neither
      this Agreement nor any uncertainty or ambiguity in this Agreement shall be
      construed or resolved against Purchaser or Pledgor, whether under any rule
      of
      construction or otherwise. On the contrary, this Agreement has been reviewed
      by
      both of the parties and their respective counsel and shall be construed and
      interpreted according to the ordinary meaning of the words used so as to fairly
      accomplish the purposes and intentions of the parties to this
      Agreement.

     

    19. Severability.
      In case
      any provision in or obligation under this Agreement shall be invalid, illegal
      or
      unenforceable in any jurisdiction, the validity, legality and enforceability
      of
      the remaining provisions or obligations, or of such provision or obligation
      in
      any other jurisdiction, shall not in any way be affected or impaired
      thereby.

     

    20. Counterparts;
      Facsimile Execution.
      This
      Agreement may be executed in one or more counterparts, each of which shall
      be
      deemed an original and all of which together shall constitute one and the same
      Agreement. Delivery of an executed counterpart of this Agreement by facsimile
      shall be equally as effective as delivery of an original executed counterpart
      of
      this Agreement. Any party delivering an executed counterpart of this Agreement
      by facsimile also shall deliver an original executed counterpart of this
      Agreement but the failure to deliver an original executed counterpart shall
      not
      affect the validity, enforceability, or binding effect of this
      Agreement.

     

    21. Waiver
      of Marshaling.
      Each of
      Pledgor and Purchaser acknowledges and agrees that in exercising any rights
      under or with respect to the Collateral: (a) Purchaser is under no obligation
      to
      marshal any Collateral; (b) may, in their absolute discretion, realize upon
      the
      Collateral in any order and in any manner they so elect; and (c) may, in their
      absolute discretion, apply the proceeds of any or all of the Collateral to
      the
      Secured Obligations in any order and in any manner they so elect. Pledgor and
      Purchaser waive any right to require the marshaling of any of the
      Collateral.

    
      
         

      

      
        11

        
          

        

      

       

    

    22. Conflict
      Among Provisions.
      In the
      event of a conflict between the terms, covenants and conditions of this
      Agreement and those of any other Investment Document (unless otherwise
      specifically provided), the terms, covenants and conditions of the document
      which shall enlarge the interest of Purchaser in the Collateral, afford
      Purchaser greater financial benefits or financial security or better assure
      payment of the Obligations in full, shall control; provided, however, that
      in
      the event of a conflict between any provision of this Agreement and the
      provisions of any other document, instrument or agreement which grants Purchaser
      a security interest in all or any part of the Pledged Interest, the provisions
      of this Agreement shall control.

     

    23. Sole
      and Absolute Discretion of Purchaser.
      Whenever pursuant to this Agreement (a) Purchaser exercises any right given
      to
      them to consent, approve or disapprove, (b) any arrangement, document, item
      or
      term is to be satisfactory to Purchaser, or (c) any other decision or
      determination is to be made by Purchaser, the decision of Purchaser to consent,
      approve or disapprove, all decisions that arrangements, documents, items, or
      terms are satisfactory or not satisfactory and all other decisions and
      determinations made by Purchaser, shall be in the sole and absolute discretion
      of Purchaser and shall be final and conclusive, except as may be otherwise
      expressly and specifically provided in this Agreement.

     

    24.
       Consent
      to Forum.
      AS PART
      OF THE CONSIDERATION FOR NEW VALUE THIS DAY RECEIVED, PLEDGOR BY THIS AGREEMENT
      CONSENTS TO THE JURISDICTION OF ANY STATE COURT LOCATED WITHIN JOHNSON COUNTY,
      KANSAS OR FEDERAL COURT IN THE DISTRICT COURT OF KANSAS, AND CONSENTS THAT
      ALL
      SERVICE OF PROCESS BE MADE BY CERTIFIED OR REGISTERED MAIL DIRECTED TO PLEDGOR
      AT THE ADDRESS STATED IN THE SECURITIES PURCHASE AGREEMENT AND SERVICE SO MADE
      SHALL BE DEEMED TO BE COMPLETED UPON ACTUAL RECEIPT THEREOF. PLEDGOR WAIVES
      ANY
      OBJECTION TO JURISDICTION AND VENUE OF ANY ACTION INSTITUTED AGAINST IT AS
      PROVIDED IN THIS AGREEMENT AND AGREES NOT TO ASSERT ANY DEFENSE BASED ON LACK
      OF
      JURISDICTION OR VENUE. PLEDGOR FURTHER AGREES NOT TO ASSERT AGAINST PURCHASER
      (EXCEPT BY WAY OF A DEFENSE OR COUNTERCLAIM IN A PROCEEDING INITIATED BY
      PURCHASER) ANY CLAIM OR OTHER ASSERTION OF LIABILITY WITH RESPECT TO THE
      INVESTMENT DOCUMENTS, PURCHASER’S CONDUCT OR OTHERWISE IN ANY JURISDICTION OTHER
      THAN THE FOREGOING JURISDICTIONS.

     

    25. Waiver
      of Jury Trial.
      TO THE FULLEST EXTENT PERMITTED BY LAW, AND AS SEPARATELY BARGAINED-FOR
      CONSIDERATION TO PURCHASER, PLEDGOR BY THIS AGREEMENT WAIVES ANY RIGHT TO TRIAL
      BY JURY (WHICH PURCHASER ALSO WAIVES) IN ANY ACTION, SUIT, PROCEEDING OR
      COUNTERCLAIM OF ANY KIND ARISING OUT OF OR OTHERWISE RELATING TO ANY OF THE
      INVESTMENT DOCUMENTS, THE OBLIGATIONS, THE PLEDGED INTEREST, OR PURCHASER’S
      CONDUCT IN RESPECT OF ANY OF THE FOREGOING.

     

    [Remainder
      of page intentionally left blank; signature page
      follows]

    
      
         

      

      
        12

        
          

        

      

       

    

    IN
      WITNESS WHEREOF,
      Pledgor
      and Purchaser have caused this Agreement to be duly executed and delivered
      by
      their officers thereunto duly authorized as of the date first written
      above.

     

    
      	
              PLEDGOR:

            	
              WITS
                BASIN PRECIOUS MINERALS INC.,

            	 
	 	
              a
                Minnesota corporation

            	 
	 	 	 	 
	 	
              By:
                

            	
              /s/
                Mark D. Dacko

            	 
	 	 	
              Mark
                D. Dacko, Chief Financial Officer

            	 
	 	 	 	 
	 	 	 	 
	
              PURCHASER:

            	
              CHINA
                GOLD, LLC,

            	 
	 	
              a
                Kansas limited liability company

            	 
	 	 	 	 
	 	
              By:
                

            	
              /s/
                C. Andrew Martin

            	 
	 	 	
              C.
                Andrew Martin, Manager

            	 

    

    

    
      
         

      

      
        13

        
          

        

      

      
         

      

    

    SCHEDULE
      1

     

    Pledged
      Interests

     

    
      	
               

               

              Name
                of Subsidiary

            	 	
              Jurisdiction

              of

              Organization

            	 	
               

              Type
                of Interest

            	 	
              Number
                of

              Shares/Units

              (if
                applicable)

            	 	
              Certificate

              Numbers

              (if
                any)

            	 	
              Percentage
                of

              Outstanding

              Interests
                in 

              Subsidiary

            
	 	 	 	 	 	 	 	 	 	 	 
	
              China
                Global Mining Resources Limited

            	 	
              British
                Virgin Islands

            	 	
              Common
                Stock

            	 	
              —

            	 	
              
                —

              

            	 	
              100%

            
	
              China
                Global Mining Resources Limited

            	 	
              Hong
                Kong

            	 	
              Common
                Stock

            	 	
              
                —

              

            	 	
              
                —

              

            	 	
              100%

            
	
              Wits-China
                Acquisition Corp.

            	 	
              Minnesota

            	 	
              Common
                Stock

            	 	
              1,000

            	 	
              N/A

            	 	
              100%

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00136-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00136-of-00352.parquet"}]]