Document:

Filed by Automated Filing Services Inc. (604) 609-0244 - Nord Resources Corporation - Exhibit 4.76

UNLESS PERMITTED UNDER SECURITIES LEGISLATION, THE HOLDER OF
THIS SECURITY MUST NOT TRADE THE SECURITY BEFORE THE DATE THAT IS FOUR MONTHS
AND A DAY AFTER THE LATER OF (I) JUNE 5, 2007 AND (II) THE DATE THE ISSUER
BECAME A REPORTING ISSUER IN ANY PROVINCE OR TERRITORY OF CANADA. 

THE SECURITIES REPRESENTED HEREBY AND THE SECURITIES
ISSUABLE UPON EXERCISE HEREOF HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES
SECURITIES ACT OF 1933, AS AMENDED (THE “U.S. SECURITIES ACT”), OR ANY STATE
SECURITIES LAWS, AND HAVE BEEN OFFERED AND SOLD IN AN OFFSHORE TRANSACTION
PURSUANT TO REGULATION S PROMULGATED UNDER THE U.S. SECURITIES ACT. THEY MAY NOT
BE SOLD, OFFERED FOR SALE, PLEDGED OR OTHERWISE TRANSFERRED EXCEPT PURSUANT TO
AN EFFECTIVE REGISTRATION STATEMENT UNDER THE U.S. SECURITIES ACT AND IN
ACCORDANCE WITH ANY APPLICABLE STATE SECURITIES LAWS, OR PURSUANT TO AN
EXEMPTION OR EXCLUSION FROM REGISTRATION UNDER THE U.S. SECURITIES ACT AND ANY
APPLICABLE STATE SECURITIES LAWS. HEDGING TRANSACTIONS INVOLVING THE SECURITIES
MAY NOT BE CONDUCTED UNLESS IN COMPLIANCE WITH THE U.S. SECURITIES ACT. 

	AGENT’S COMPENSATION OPTION CERTIFICATE 
	  
	NORD RESOURCES CORPORATION 
	1 West Wetmore Road, Suite 203 
	Tucson, Arizona 85705 
	Telephone (520) 292-0266 Fax: (520) 292-0268
  

	OPTION CERTIFICATE NO. 002 	
      644,001 OPTIONS entitling the holder to
      acquire, subject to adjustment, 644,001 Agent's
      Shares, as provided herein. 

THE OPTIONS EVIDENCED HEREBY ARE EXERCISABLE ON OR BEFORE
5:00 P.M. (VANCOUVER TIME) ON JUNE 5, 2009, AFTER WHICH TIME THE OPTIONS
EVIDENCED HEREBY SHALL BE DEEMED TO BE VOID AND OF NO FURTHER FORCE OR EFFECT.
DO NOT DESTROY THIS CERTIFICATE. 

THIS IS TO CERTIFY THAT, for valuable consideration,

Salman Partners Inc., 
Suite 1700,
1095 West Pender Street, 
Vancouver, British Columbia, V6E 2M6 

(the “Agent”), is the registered holder of 644,001 Agent’s
Compensation Options (the “Options”), each of which entitle the holder, subject
to the terms and conditions set forth in this Certificate, to purchase from Nord
Resources Corporation (the “Company”) one fully paid and non-assessable common
share (an “Agent’s Share”), with a par value of $0.01, in the capital of the
Company at any time commencing on the date hereof and continuing up to 5:00 p.m.
(Vancouver time) (the “Time of Expiry”) on June 5, 2009 (the “Expiry Date”) on
payment of US$0.75 per share (the “Exercise Price”). The number of Agent’s
Shares which the Agent is entitled to acquire upon exercise of the Options and
the Exercise Price are subject to adjustment as hereinafter provided. 

The Options represented by this Certificate have not been, and
the Agent’s Shares issuable upon exercise hereof, if issued prior to the
effectiveness of a registration statement with respect to resales thereof, will

-2- 

not have been, registered under the United States Securities
Act of 1933, as amended, (the “U.S. Securities Act”) and the Options have
been be issued pursuant to exemptions from the registration requirements of the
U.S. Securities Act. The Options and the Agent’s Shares issuable upon exercise
hereof may not be sold, transferred, pledged or hypothecated in the absence of
(a) an effective registration statement under the U.S. Securities Act relating
thereto or (b) an exemption from the registration requirements of the U.S.
Securities Act and all applicable state securities laws, after providing a legal
opinion satisfactory to the Company confirming that such transfer is not subject
to registration under the U.S. Securities Act and applicable state securities
laws. Each certificate representing Agent’s Shares, if issued prior to the
effectiveness of a registration statement with respect to resales thereof and to
the delivery of an opinion of U.S. counsel to the Company that such securities
no longer require a restrictive U.S. legend, shall contain a legend on the face
thereof in the appropriate form, setting forth the restrictions on the transfer
referred to herein. Each Certificate issued in substitution for or to replace
this Certificate shall contain a legend on the face thereof, in the appropriate
form, setting forth the restrictions on transfer referred to herein. The holder
acknowledges and agrees that the Options represented by this Certificate
constitute, and the Agent’s Shares issuable upon exercise of the Options may
constitute, “restricted securities” under the U.S. Securities Act. Further, the
holder agrees not to engage in hedging transactions with regard to the Options
or Agent’s Shares except in compliance with the U.S. Securities Act. 

	1. 	Exercise of Agent’s Options
  

	 	(a) 	
      Notice of Exercise. The rights evidenced by this
      Certificate may be exercised by the Agent in whole or in part in
      accordance with the provisions hereof by delivery of a notice of exercise
      in substantially the form attached hereto as Schedule “A” (the “Notice of
      Exercise”), properly completed and executed, together with payment of the
      Exercise Price by certified cheque, bank draft or money order payable to
      the order of the Company for the number of Agent’s Shares specified in the
      Notice of Exercise at the principal office of the Company, at its head
      office or such other address in Canada as may be notified in writing by
      the Company (the “Company Office”). In the event that the rights evidenced
      by this Certificate are exercised in part, the Company shall,
      contemporaneously with the issuance of the Agent’s Shares issuable on the
      exercise of the Options so exercised, issue to the Agent a certificate on
      identical terms in respect of that number of Options in respect of which
      the Agent has not exercised the rights evidenced by this
    Certificate.

	 	 	 
	 	(b) 	
      Exercise. The Company shall, on the date it
      receives a duly executed Notice of Exercise and the Exercise Price for the
      number of Agent’s Shares specified in the Notice of Exercise (the
      “Exercise Date”), issue that number of Agent’s Shares specified in the
      Notice of Exercise, and such Agent’s Shares shall be issued as fully paid
      and non- assessable common shares in the capital of the Company.

	 	 	 
	 	(c) 	
      Certificates. As promptly as practicable after the
      Exercise Date and, in any event, within five (5) business days of receipt
      of the Notice of Exercise and the Exercise Price for the number of Agent’s
      Shares specified in the Notice of Exercise, the Company shall issue and
      deliver or cause to be issued and delivered to the Agent, registered in
      such name or names as the Agent may direct or, if no such direction has
      been given, in the name of the Agent described above, a certificate or
      certificates for the number of Agent’s Shares specified in the Notice to
      Exercise. To the extent permitted by law, such exercise shall be deemed to
      have been effected as of the close of business on the Exercise Date, and
      at such time the rights of the Agent with respect to the number of Options
      which have been exercised as such shall cease, and the person or persons
      in whose name or names any

-3- 

	 		
      certificate or certificates for Agent’s Shares shall then
      be issuable upon such exercise shall be deemed to have become the holder
      or holders of record of the Agent’s Shares represented hereby.

	 	 	 
	 	(d) 	
      Not a Shareholder. Nothing contained in this
      Certificate shall be construed as conferring upon the Agent any right or
      interest whatsoever as a holder of common shares of the Company or any
      other right or interest except as herein expressly provided.

	 	 	 
	 	(e) 	
      Fractional Shares. No fractional Agent’s Shares
      shall be issued upon exercise of any Options and no payment or adjustment
      shall be made upon any exercise on account of any cash dividends on the
      Agent’s Shares issued upon such exercise. If the number of Agent’s Shares
      to which the Agent would otherwise so be entitled upon exercise of any
      Options is not a whole number, then the number of Agent’s Shares to be
      issued shall be rounded down to the next whole number.

	 	 	 
	 	(f) 	
      Exercise in Whole or in Part. The Agent may
      exercise less than all of the Options evidenced hereby and in the case of
      any such partial exercise shall be entitled to receive a new Certificate,
      in substantially the same form as this Certificate, evidencing the number
      of Options held by the Agent which remain unexercised.

	 	 	 
	 	(g) 	
      Canadian Legends: Certificates representing
      Agent’s Shares issued upon the conversion of Options and without the
      British Columbia Securities Commission, as the principal regulator under
      National Policy 43-201 and the MRRS, having issued a decision document
      evidencing that each of the Securities Commissions has issued a receipt
      for the Final Prospectus, shall bear the following legend:

	 	 	 
	 		
      "UNLESS PERMITTED UNDER SECURITIES LEGISLATION, THE
      HOLDER OF THIS SECURITY MUST NOT TRADE THE SECURITY BEFORE THE DATE THAT
      IS FOUR MONTHS AND A DAY AFTER THE LATER OF (I) JUNE 5, 2007 AND (II) THE
      DATE THE ISSUER BECAME A REPORTING ISSUER IN ANY PROVINCE OR TERRITORY OF
      CANADA.".

	 	 	 
	 	(h) 	
      U.S. Legends: Unless the Agent’s Shares have been
      registered pursuant to an effective registration statement filed with the
      United States Securities and Exchange Commission, pursuant to the U.S.
      Securities Act and the Company’s U.S. counsel has provided an opinion that
      such legend is not required under the U.S. Securities Act, the Agent’s
      Shares shall bear the following legend:

	 	 	 
	 		
      “THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN
      REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE
      “U.S. SECURITIES ACT”), OR ANY STATE SECURITIES LAWS, AND HAVE BEEN
      OFFERED AND SOLD IN AN OFFSHORE TRANSACTION PURSUANT TO REGULATION S
      PROMULGATED UNDER THE U.S. SECURITIES ACT. THEY MAY NOT BE SOLD, OFFERED
      FOR SALE, PLEDGED OR OTHERWISE TRANSFERRED EXCEPT PURSUANT TO AN EFFECTIVE
      REGISTRATION STATEMENT UNDER THE U.S. SECURITIES ACT AND IN ACCORDANCE
      WITH ANY APPLICABLE STATE SECURITIES LAWS, OR PURSUANT TO AN EXEMPTION OR
      EXCLUSION FROM REGISTRATION UNDER THE U.S. SECURITIES ACT AND ANY
      APPLICABLE STATE SECURITIES LAWS. HEDGING TRANSACTIONS INVOLVING THE
      SECURITIES MAY NOT BE CONDUCTED UNLESS IN COMPLIANCE WITH THE U.S.
      SECURITIES ACT.”

-4- 

provided that, if any such Agent’s
Shares are being sold pursuant to Rule 144 under the U.S. Securities Act, the
legend may be removed by delivery to the registrar and transfer agent for the
Agent’s Shares and the Company of any opinion of counsel, of recognized standing
reasonably satisfactory to the Company, that such legend is no longer required
under applicable requirements of the U.S. Securities Act or state securities
laws. 

	2. 	Adjustment to Subscription Rights
  

     From and after the date hereof, the
Exercise Price and the number of Agent’s Shares deliverable upon the exercise of
the Options will be subject to adjustment in the events and in the following
manner: 

	 	(a) 	
      In case of any reclassification of the common shares of
      the Company or change of the common shares of the Company into other
      shares, or in case of the consolidation, merger, reorganization or
      amalgamation of the Company with or into any other corporation or entity
      which results in any reclassification of the common shares or a change of
      the common shares into other shares, or in case of any transfer of the
      undertaking or assets of the Company as an entirety or substantially as an
      entirety to another person (any such event being hereinafter referred to
      as a “Reclassification of Common Shares”), at any time prior to the Time
      of Expiry, the Agent shall, after the effective date of such
      Reclassification of Common Shares and upon exercise of the right to
      purchase Agent’s Shares hereunder, be entitled to receive, and shall
      accept, in lieu of the number of Agent’s Shares to which the Agent was
      theretofore entitled upon such exercise, the kind and amount of shares and
      other securities or property which the Agent would have been entitled to
      receive as a result of such Reclassification of Common Shares if, on the
      effective date thereof, the Agent had been the registered holder of the
      number of common shares to which the Agent was theretofore entitled upon
      such exercise. If necessary, appropriate adjustments shall be made in the
      application of the provisions set forth in this section with respect to
      the rights and interests thereafter of the Agent to this Option
      certificate such that the provisions set forth in this section shall
      thereafter correspondingly be made applicable as nearly as may be
      reasonable in relation to any shares or other securities or property
      thereafter deliverable upon the exercise of the Options evidenced
      hereby.

	 	 	 	 
	 	(b) 	
      If and whenever at any time prior the Time of Expiry the
      Company shall:

	 	 	 	 
	 		(i) 	
      subdivide its common shares into a greater number of
      shares;

	 	 	 	 
	 		(ii) 	
      consolidate its common shares into a lesser number of
      shares; or

	 	 	 	 
	 		(iii) 	
      issue common shares or Convertible Securities (as defined
      below in paragraph (g)) to all or substantially all of the holders of
      common shares by way of a stock dividend or other distribution on its
      common shares payable in common shares or Convertible
Securities;

	 	 	 	 
	 		
      (any such event being hereinafter referred to as “Capital
      Reorganization”) and any such event results in an adjustment in the
      Exercise Price pursuant to paragraph (c), the number of Agent’s Shares
      purchasable pursuant to the Options evidenced hereby shall be adjusted
      contemporaneously with the adjustment of the Exercise Price by multiplying
      the number of Agent’s Shares theretofore purchasable on the exercise
      thereof by a fraction the numerator of which shall be the Exercise Price
      in effect immediately prior to such adjustment and the denominator of
      which shall be the Exercise Price resulting from such
  adjustment.

-5- 

	 	(c) 	
      If and whenever at any time prior to the Time of Expiry,
      the Company shall engage in a Capital Reorganization, the Exercise Price
      shall, on the effective date, in the case of a subdivision or
      consolidation, or on the record date, in the case of a stock dividend, be
      adjusted by multiplying the Exercise Price in effect on such effective
      date or record date by a fraction: (A) the numerator of which shall be the
      number of common shares outstanding before giving effect to such Capital
      Reorganization; and (B) the denominator of which is the number of common
      shares outstanding after giving effect to such Capital Reorganization. The
      number of common shares outstanding shall include the deemed conversion
      into or exchange for common shares of any Convertible Securities
      distributed by way of stock dividend or other such distribution. Such
      adjustment shall be made successively whenever any event referred to in
      this paragraph shall occur.

	 	 	 
	 	(d) 	
      Any issue of common shares or Convertible Securities by
      way of a stock dividend or other such distribution shall be deemed to have
      been made on the record date thereof for the purpose of calculating the
      number of outstanding common shares under paragraphs (e) and
(f).

	 	 	 
	 	(e) 	
      If and whenever at any time prior to the Time of Expiry,
      the Company shall fix a record date for the issuance of rights, options or
      warrants (other than the Options evidenced hereby) to all or substantially
      all the holders of common shares entitling them, for a period expiring not
      more than 45 days after such record date, to subscribe for or purchase
      common shares or Convertible Securities at a price per share (or having a
      conversion or exchange price per share) of less than 95% of the Current
      Market Price (as defined below) of the common shares on such record date
      (any such event being hereinafter referred to as a “Rights Offering”), the
      Exercise Price shall be adjusted immediately after such record date so
      that it shall equal the price determined by multiplying the Exercise Price
      in effect on such record date by a fraction:

	 	(i) 	
      the numerator of which shall be the aggregate of: (A) the
      number of common shares outstanding on such record date; and (B) a number
      determined by dividing whichever of the following is applicable by the
      Current Market Price of the common shares on the record date: (1) the
      amount obtained by multiplying the number of common shares which the
      holders of common shares are entitled to subscribe for or purchase by the
      subscription or purchase price; or (2) the amount obtained by multiplying
      the maximum number of common shares which the holders of common shares are
      entitled to receive on the conversion or exchange of the Convertible
      Securities by the conversion or exchange price per share; and

	 	 	 
	 	(ii) 	
      the denominator of which shall be the aggregate of: (A)
      the number of common shares outstanding on such record date; and (B)
      whichever of the following is applicable: (1) the number of common shares
      which the holders of common shares are entitled to subscribe for or
      purchase; or (2) the maximum number of common shares which the holders of
      common shares are entitled to receive on the conversion or exchange of the
      Convertible Securities.

Any common shares owned by or held for
the account of the Company shall be deemed not to be outstanding for the purpose
of any such computation. Such adjustment shall be made successively whenever
such a record date is fixed. 

-6- 

	 		
      To the extent that such Rights Offering is not so made or
      any such rights, options or warrants are not exercised prior to the
      expiration thereof, the Exercise Price shall then be readjusted to the
      Exercise Price which would then be in effect if such record date had not
      been fixed or if such expired rights, options or warrants had not been
      issued.

	 	 	 	 
	 	(f) 	
      If and whenever at any time prior to the Time of Expiry,
      the Company shall fix a record date for the distribution to all or
      substantially all the holders of common shares of:

	 	 	 	 
	 		(i) 	
      shares of any class, whether of the Company or any other
      corporation;

	 	 	 	 
	 		(ii) 	
      rights, options or warrants;

	 	 	 	 
	 		(iii) 	
      evidences of indebtedness; or

	 	 	 	 
	 		(iv) 	
      other assets or property;

	 	 	 	 
	 		
      and if such distribution does not constitute a Capital
      Reorganization or a Rights Offering or does not consist of rights, options
      or warrants entitling the holders of common shares to subscribe for or
      purchase common shares or Convertible Securities for a period expiring not
      more than 45 days after such record date and at a price per share (or
      having a conversion or exchange price per share) of at least 95% of the
      Current Market Price of the common shares on such record date (any such
      non-excluded event being hereinafter referred to as a “Special
      Distribution”) the Exercise Price shall be adjusted immediately after such
      record date so that it shall equal the price determined by multiplying the
      Exercise Price in effect on such record date by a fraction: (I) the
      numerator of which shall be the amount by which (A) the amount obtained by
      multiplying the number of common shares outstanding on such record date by
      the Current Market Price of the common shares on such record date, exceeds
      (B) the fair market value (as determined by the directors of the Company,
      which determination shall be conclusive) to the holders of such common
      shares of such Special Distribution; and (II) the denominator of which
      shall be the total number of common shares outstanding on such record date
      multiplied by such Current Market Price.

	 	 	 	 
	 		
      Any common shares owned by or held for the account of the
      Company shall be deemed not to be outstanding for the purpose of any such
      computation. Such adjustment shall be made successively whenever such a
      record date is fixed.

	 	 	 	 
	 		
      To the extent that such Special Distribution is not so
      made or any such rights, options or Options are not exercised prior to the
      expiration thereof, the Exercise Price shall then be readjusted to the
      Exercise Price which would then be in effect if such record date had not
      been fixed or if such expired rights, options or Options had not been
      issued.

	 	 	 	 
	 	(g) 	
      For the purpose of these Options, “Convertible Security”
      means a security convertible into or exchangeable for a common
    share.

	 	 	 	 
	 	(h) 	
      No adjustment pursuant to the Option certificate shall be
      made in respect of dividends (payable in cash or common shares) declared
      payable on the common shares in any fiscal year of the Company to the
      extent that such dividends, when aggregated with any dividends previously
      declared payable on the common shares in such fiscal year, do not exceed
      15% of the aggregate consolidated net income of the Company, before
      extraordinary items, for its immediately preceding fiscal
  year.

-7- 

	 	(i) 	
      In any case in which the Option certificate shall require
      that an adjustment shall become effective immediately after a record date
      for an event referred to herein, the Company may defer, until the
      occurrence of such event, issuing to the Agent, upon the exercise of the
      Options evidenced hereby after such record date and before the occurrence
      of such event, the additional common shares issuable upon such exercise by
      reason of the adjustment required by such event; provided, however, that
      the Company shall deliver to the Agent an appropriate instrument
      evidencing the Agent's right to receive such additional common shares upon
      the occurrence of the event requiring such adjustment and the right to
      receive any distributions made on such additional common shares on and
      after such exercise.

	 	 	 
	 	(j) 	
      The adjustments provided for in the Option certificate
      are cumulative, shall, in the case of adjustments to the Exercise Price,
      be computed to the nearest one-tenth of one cent and shall apply (without
      duplication) to successive Reclassifications of Common Shares, Capital
      Reorganizations, Rights Offerings and Special Distributions; provided
      that, notwithstanding any other provision of this section, no adjustment
      of the Exercise Price shall be required unless such adjustment would
      require an increase or decrease of at least 1% of the Exercise Price then
      in effect (except upon a consolidation of the outstanding common shares)
      (provided, however, that any adjustments which by reason of this paragraph
      are not required to be made shall be carried forward and taken into
      account in any subsequent adjustment).

	 	 	 
	 	(k) 	
      No adjustment in the number of common shares which may be
      purchased upon exercise of the Options evidenced hereby or in the Exercise
      Price shall be made pursuant to this Option certificate if the Agent is
      entitled to participate in such event on the same terms mutatis
      mutandis as if the Agent had exercised the Options evidenced hereby
      for common shares prior to the effective date or record date of such
      event.

	 	 	 
	 	(l) 	
      In the event of any question arising with respect to the
      adjustments provided in this Option certificate, such question shall
      conclusively be determined by a firm of chartered accountants appointed by
      the Company and acceptable to the Agent (which firm may be the Company's
      auditors). Such accountants shall have access to all necessary records of
      the Company and such determination shall be binding upon the Company and
      the Agent.

	 	 	 
	 	(m) 	
      As a condition precedent to the taking of any action
      which would require an adjustment in the subscription rights pursuant to
      the Options, including the Exercise Price and the number of such classes
      of shares or other securities or property which are to be received upon
      the exercise thereof, the Company shall take all corporate action which
      may, in the opinion of counsel, be necessary in order that the Company has
      reserved and there will remain unissued out of its authorized capital a
      sufficient number of common shares for issuance upon the exercise of the
      Options evidenced hereby, and that the Company may validly and legally
      issue as fully paid and non-assessable all the shares of such classes or
      other securities or may validly and legally distribute the property which
      the Agent is entitled to receive on the full exercise thereof in
      accordance with the provisions hereof.

	 	 	 
	 	(n) 	
      Prior to the effective date or record date, as the case
      may be, of any event which requires an adjustment in the subscription
      rights pursuant to this Option certificate, including the Exercise Price
      and the number and classes of shares or other securities or property which
      are to be received upon the exercise thereof, the Company shall give
      notice to the Agent of the particulars of such event and the required
      adjustment.

-8- 

     For the purpose of any computation
under this Option certificate, the “Current Market Price” at any date shall mean
the price per common share equal to the weighted average price per common share
being determined by dividing the aggregate sale price of all common shares sold
on the Pink Sheets LLC for any 20 consecutive trading days immediately preceding
such date by the aggregate number of common shares so sold, or, if the common
shares of the Company are then listed on a more senior stock exchange, the
volume weighted average price at which the Shares have traded on such stock
exchange for such 20 consecutive trading day period, or, if not traded on any
recognized market or exchange, as determined by the directors, acting
reasonably; 

	3. 	Replacement 

     Upon receipt of evidence
satisfactory to the Company of the loss, theft, destruction or mutilation of
these Options and, if requested by the Company, upon delivery of a bond of
indemnity satisfactory to the Company (or, in the case of mutilation, upon
surrender of these Options) the Company will issue to the Option holder a
replacement Certificate evidencing these Options (containing the same terms and
conditions as this Certificate). 

	4. 	Transfer of Options 

     The Options represented by this
Certificate and the rights thereunder may not be assigned or transferred. 

	5. 	Expiry Date 

     The Options shall expire and all
rights to purchase Agent’s Shares hereunder shall cease and become null and void
at the Time of Expiry on the Expiry Date. 

	6. 	Inability to Deliver Shares
  

     If for any reason, other than the
failure or default of the Agent, the Company is unable to issue and deliver the
Agent’s Shares or other securities as contemplated herein to the Agent upon the
proper exercise by the Agent of the right to purchase any of the Agent’s Shares
covered by this Certificate, the Company may pay, at its option and in complete
satisfaction of its obligations hereunder, to the Agent, in cash, an amount
equal to the difference between the Exercise Price and the fair market value of
such Agent’s Shares or other securities on the Exercise Date. 

	7. 	Governing Law 

     This Certificate shall be
governed by, and interpreted in accordance with, the laws of the Province of
British Columbia and federal laws of Canada applicable therein.

	8. 	Successors 

     This Certificate shall enure to
the benefit of and shall be binding upon the Agent and the Company and their
respective successors. 

	9. 	Notices 

     Any notice, direction or other
communication hereunder shall be in writing and shall be given by delivery or by
facsimile transmission (if receipt of such transmission is confirmed): 

-9- 

	 	(a) 	if to the Company at: 
	 	  	  	  
	 	  	Nord Resources Corporation 
	 		1 West Wetmore Road,
      Suite 203 
	 	  	Tucson, Arizona 85705 
	 	  	  	  
	 	  	Attention: 	John Perry 
	 	  	Facsimile: 	(520) 292-0268 
	 	  	  	  
	 	(b) 	if to the Agent at: 
	 	  	  	  
	 	  	  	  
	 	  	Salman Partners Inc. 
	 	  	1095 West Pender Street, Suite 1700
    
	 	  	Vancouver, British Columbia V6E 2M6
    
	 	  	  	  
	 	  	Attention: 	Terry Salman 
	 	  	Facsimile: 	604-685-2471 

Any such notice shall be deemed to have been given if delivered
by courier during normal business hours of the recipient on a business day, on
the day following the date of delivery and if sent by facsimile transmission, on
the business day so sent provided that any delivery made or sent by facsimile
after 5:00 p.m. (Vancouver time) on a business day, shall be deemed to be
received on the next following business day. 

-10- 

IN WITNESS WHEREOF the Company has caused this
Certificate to be signed by its duly authorized officer. 

DATED as of the 5th day of June, 2007. 

	 	NORD RESOURCES CORPORATION
  
	 	  	  
	 	  	  
	 	  	  
	 	By: 	/s/
      John T Perry 
	 	  	Authorized Signatory 

-1- 

Schedule “A” 

Notice of Exercise 

	To: 	Nord Resources Corporation 
	  	1 West Wetmore Road, Suite 203 
	  	Tucson, Arizona 85705 
	  	Telephone (520) 292-0266 Fax: (520) 292-0268
  

The undersigned hereby irrevocably elects to exercise the
number of Options of Nord Resources Corporation set out below for the number of
Agent’s Shares as set forth below: 

Options to be Exercised: 

	 	(a) 	Number of Options to be Exercised: 	  
	 	(b) 	Number of Agent’s Shares to be Acquired: 	  
	 	(c) 	Exercise Price per Agent’s Share: 	US $0.75 
	 	(d) 	Total Purchase Price [(a) multiplied by
      (c)] 	$________________
  

and hereby tenders a certified cheque, bank draft or cash for
such total aggregate purchase price, and directs such Agent’s Shares to be
registered and a certificate therefor to be issued as directed below. 

The undersigned represents and warrants that it (1) is not in
the United States; (2) is not a U.S. person and is not exercising the Options
for, or on behalf or benefit of, a U.S. person or person in the United States;
(3) did not execute or deliver this Notice of Exercise in the United States; (4)
will not engage in hedging transactions with regard to the Agent’s Shares prior
to the expiration of the one-year distribution compliance period set forth in
Rule 903(b)(3) of Regulation S under the United States Securities Act of
1933, as amended (the “U.S. Securities Act”), and (5) acknowledges that the
Company shall refuse to register any transfer of the Agent’s Shares not made in
accordance with the provisions of Regulation S, pursuant to registration under
the U.S. Securities Act, or pursuant to an available exemption from registration
under the U.S. Securities Act; and (6) has not engaged in, or exercised Options
as a result of, any “directed selling efforts” (as defined in Regulation S) in
the United States. “United States” and “U.S. person” shall have the respective
meanings assigned thereto in Regulation S. 

DATED this ___________day of _____________________,
_________. 

	 	(Registered Holder - Print) 
	 	 	 
	 	 Per: 	

-2- 

	Direction as to Registration
	 
	 	 
	Name of Registered Holder 	 
	  	 
	Address of Registered Holder: 	 
	 	 
	 	 
	 	 

Instructions: 

1. The registered holder may exercise its right to receive
securities by completing this form and surrendering this form and the Option
Certificate representing the Options being exercised together with payment of
the exercise price to the registered office of the Company at 1 West Wetmore
Road, Suite 203, Tucson, Arizona 85705.

2. Certificates for the securities being purchased shall be
delivered or mailed within five (5) business days after the exercise of the
Options. 

3. If the Exercise Form is signed by an officer of a
corporation or any person acting in a fiduciary or representative capacity, the
certificate must be accompanied by evidence of authority to sign satisfactory to
the Company. 

4. If the registered holder exercises its right to receive
securities prior to the expiry of the “restricted period”, the securities being
acquired shall be subject to a restricted period and may be issued with a legend
reflecting such restricted period.Filed by Automated Filing Services Inc. (604) 609-0244 - Nord Resources Corporation - Exhibit 10.75

AGENCY AGREEMENT 

June 5, 2007 

Nord Resources Corporation 
Suite 203 
1 Westmore Road

Tucson, AZ 
85705 

Attention:      John Perry,
Senior Vice President & Chief Financial Officer 

Dear Sirs/Mesdames: 

Re:     Private Placement of Special
Warrants 

Blackmont Capital Inc. and Salman Partners Inc.
(collectively the “Agents” and individually an “Agent”) understand that: 

	 	(a) 	
      Nord Resources Corporation (the “Corporation”) is
      authorized to issue, among other things,100,000,000 Common Shares (as
      hereinafter defined);

	 	 	 
	 	(b) 	
      as at May 31, 2007, 34,531,282 Common Shares were
      outstanding as fully paid and non- assessable shares and an aggregate of
      9,445,983 Common Shares were reserved for issue pursuant to outstanding
      options, warrants, share incentive plans, convertible and exchangeable
      securities and other rights to acquire Common Shares;

	 	 	 
	 	(c) 	
      the Corporation is prepared to issue and sell up to
      30,666,700 special warrants of the Corporation (collectively the “Offered
      Securities” or “Special Warrants” and individually an “Offered Security”
      or “Special Warrant”) at a price of $0.75, each Special Warrant will
      entitle the holder thereof to acquire, without payment of any additional
      consideration, one common share of the Corporation (individually as
      “Special Warrant Share” and collectively the “Special Warrant Shares”) and
      one-half of one warrant (each whole warrant individually a “Warrant” and
      collectively the “Warrants”), each Warrant being exercisable by the holder
      thereof to acquire one Common Share at an exercise price of $1.10 per
      Common Share for a period of 60 months after the Closing Date (as
      hereinafter defined), for maximum aggregate gross proceeds of $23,000,025
      on the terms and subject to the conditions contained hereinafter;
    and

	 	 	 
	 	(d) 	
      the Purchasers (as hereinafter defined), Agents and other
      holders (including subsequent permitted transferees) of the Special
      Warrants (and any holders of Registrable Securities (as hereinafter
      defined) will be entitled to the benefit of the registration rights
      agreement, to be dated as of the Closing Date (the “Registration Rights
      Agreement”), among the Corporation and the Agents, in the form attached
      hereto as Exhibit A.

Based upon the understanding of the Agents set out above and
upon the terms and subject to the conditions contained hereinafter, upon the
acceptance hereof by the Corporation, the Corporation hereby appoints the
Agents to act as the sole and exclusive agent of the Corporation to
solicit, on a best efforts basis, offers to purchase the Offered Securities, and
the Agents hereby agree to act as such agents. It is 

understood and agreed that the Agents are under no obligation
to purchase any of the Offered Securities, although any of them may subscribe
for and purchase Offered Securities if they so desire. 

The terms and conditions of this Agreement are as follows: 

	1. 	
      Definitions, Interpretation and
      Schedules

	 	 	 	 
		(a) 	
      Definitions: Whenever used in this
    Agreement:

	 	 	 	 
			(i) 	
      “1933 Act” means the United States Securities Act of
      1933, as amended;

	 	 	 	 
			(ii) 	
      “1934 Act” means the United States Securities Exchange
      Act of 1934, as amended;

	 	 	 	 
			(iii) 	
      “Agents” means Blackmont Capital Inc. and Salman Partners
      Inc. and the U.S. Affiliate collectively;

	 	 	 	 
			(iv) 	
      “Agreement” means the agreement resulting from the
      acceptance by the Corporation of the offer made by the Agents herein,
      including the schedules attached hereto, as amended or supplemented from
      time to time;

	 	 	 	 
			(v) 	
      “Ancillary Documents” means all agreements, indentures,
      certificates (including the Special Warrant Certificates, the Warrant
      Certificates, the Compensation Option Certificate, the Special Warrant
      Indenture and the Warrant Indenture) and documents executed and delivered,
      or to be executed and delivered, by the Corporation in connection with the
      transactions contemplated by this Agreement or the Subscription Agreements
      and includes the Subscription Agreements and the Registration Rights
      Agreement;

	 	 	 	 
			(vi) 	
      “Auditor” means Mayer Hoffman McCann P.C. or such other
      independent public accounting firm registered with the Public Company
      Accounting Oversight Board as may be duly appointed as auditor of the
      Corporation from time to time;

	 	 	 	 
			(vii) 	
      “Business Day” means a day which is not a Saturday,
      Sunday or a statutory or civic holiday in the city of Vancouver, British
      Columbia, or a day when the principal office of the Trustee in such city
      is not generally open to the public for the transaction of
  business;

	 	 	 	 
			(viii) 	
      “Closing” means the purchase and sale of the Offered
      Securities subscribed for by the Purchasers pursuant to the Subscription
      Agreements;

	 	 	 	 
			(ix) 	
      “Closing Date” means June 5, 2007 or such other date as
      the Corporation and the Agents may mutually agree upon in
  writing;

	 	 	 	 
			(x) 	
      “Closing Time” means 11:00 a.m. (Toronto time) on the
      Closing Date or such other time on the Closing Date as the Corporation and
      the Agents may mutually agree upon in writing;

	 	(xi) 	
      “Common Shares” means the shares of common stock, par
      value $0.01 per share, which the Corporation is authorized to issue as
      constituted on the date hereof;

	 	 	 
	 	(xii) 	
      “Compensation Option Certificate” means the certificate
      evidencing the Compensation Option and containing the terms
  thereof;

	 	 	 
	 	(xiii) 	
      “Compensation Options” means the compensation options to
      be issued to the Agents, entitling the Agents to acquire Common Shares in
      accordance with the terms of the Compensation Option
Certificate;

	 	 	 
	 	(xiv) 	
      “Compensation Shares” means the Common Shares which may
      be issued on the exercise of the Compensation Options;

	 	 	 
	 	(xv) 	
      “Corporation” means Nord Resources Corporation, a
      corporation existing under the laws of the State of Delaware and includes
      any successor corporation thereto;

	 	 	 
	 	(xvi) 	
      “Directed Selling Efforts” means “directed selling
      efforts” as defined in Regulation S;

	 	 	 
	 	(xvii) 	
      “Disclosure Schedules” means the disclosure schedules
      that have been prepared by the Corporation, delivered by the Corporation
      to the Agents, and dated the date of this Agreement;

	 	 	 
	 	(xviii) 	
      “Final Prospectus” means the Canadian (final) prospectus
      of the Corporation, qualifying the distribution of the Special Warrant
      Shares, the Warrants and the Special Warrant Shares in the Qualifying
      Provinces;

	 	 	 
	 	(xix) 	
      “Final Receipt” means a receipt or decision document for
      the Prospectus issued in accordance with the MRRS;

	 	 	 
	 	(xx) 	
      “General Solicitation or General Advertising” means
      “general solicitation or general advertising” as used in Rule 502(c) of
      Regulation D;

	 	 	 
	 	(xxi) 	
      “Information” means all information regarding the
      Corporation that is, or becomes, publicly available together with all
      information prepared by the Corporation and provided to the Agents or to
      potential purchasers of the Offered Securities, if any, and includes, but
      is not limited to, the Public Record and all material change reports,
      press releases and financial statements of the Corporation;

	 	 	 
	 	(xxii) 	
      “Lead Agent” means Blackmont Capital Inc.;

	 	 	 
	 	(xxiii) 	
      “Liquidity Incentive” has the meaning ascribed to such
      term in subsection 9(a)(v) hereof;

	 	 	 
	 	(xxiv) 	
      “MRRS” means the mutual reliance review system procedures
      provided for under National Policy 43-201 – Mutual Reliance Review System
      for Prospectuses and Annual Information Forms;

	 	(xxv) 	
      “Offered Securities” means up to 30,666,700 Special
      Warrants to be issued and sold at the Purchase Price under the
      Offering;

	 	 	 
	 	(xxvi) 	
      “Offering” means the offering for sale by the Corporation
      on a private placement basis of the Offered Securities;

	 	 	 
	 	(xxvii) 	
      “Offering Jurisdictions” means the Provinces of British
      Columbia, Alberta, Saskatchewan, Manitoba, Ontario and Nova Scotia, the
      United States and such other provinces and territories of Canada and other
      jurisdictions as may be mutually agreed upon by the Agents and the
      Corporation where the Offered Securities are offered to prospective
      purchasers or those provinces, territories or other jurisdictions where
      Purchasers reside, as the context permits or requires;

	 	 	 
	 	(xxviii) 	
      “Ontario Act” means the Securities Act (Ontario)
      and the regulations thereunder, together with the instruments, policies,
      rules, orders, codes, notices and interpretation notes of the Ontario
      Securities Commission, as amended, supplemented or replaced from time to
      time;

	 	 	 
	 	(xxix) 	
      “Person” means an individual, a firm, a corporation, a
      syndicate, a partnership, a trust, an association, an unincorporated
      organization, a joint venture, an investment club, a government or an
      agency or political subdivision thereof and every other form of legal or
      business entity of any nature or kind whatsoever;

	 	 	 
	 	(xxx) 	
      “Preliminary Prospectus” means the Canadian preliminary
      prospectus of the Corporation filed in accordance with the MRRS;

	 	 	 
	 	(xxxi) 	
      “Public Record” means the Corporation’s annual reports on
      Form 10-KSB for the years ended December 31, 2006, 2005 and 2004, as
      amended, the quarterly report filed on Form 10-QSB for the quarter ended
      March 31, 2007, and the current reports filed on Form 8-K since December
      31, 2006;

	 	 	 
	 	(xxxii) 	
      “Purchase Price” means the price to be paid by the
      Purchasers for each Offered Security under the Offering, being $0.75 per
      Offered Security;

	 	 	 
	 	(xxxiii) 	
      “Purchasers” means the purchasers of the Offered
      Securities collectively;

	 	 	 
	 	(xxxiv) 	
      “Qualification Date” means the date on which the British
      Columbia Securities Commission, or such other applicable securities
      commission of a Canadian province, as the principal regulator under
      National Policy 43-201 and the MRRS, issues a decision document evidencing
      that each of the Securities Commissions has issued a Final
  Receipt;

	 	 	 
	 	(xxxv) 	
      “Qualification Deadline” means 5:00 p.m. (Vancouver time)
      on the first Business Day which is not less than 180 days after the
      Closing Date;

	 	 	 
	 	(xxxvi) 	
      “Qualifying Jurisdictions” means those Offering
      Jurisdictions located within Canada,
collectively;

	 	(xxxvii) 	
      “Registrable Securities” means the Special Warrant Shares
      and the Warrant Shares;

	 	 	 
	 	(xxxviii) 	
      “Registration Rights Agreement” shall have the meaning
      ascribed to such term on the face page of this Agreement;

	 	 	 
	 	(xxxix) 	
      “Registration Statement” means the registration statement
      of the Corporation to be filed with the SEC in order to register, or
      register the resale of, the Registrable Securities, as applicable, as such
      Registration Statement is amended from time to time;

	 	 	 
	 	(xl) 	
      “Regulation D” means Regulation D under the 1933
    Act;

	 	 	 
	 	(xli) 	
      “Regulation S” means Regulation S under the 1933
    Act;

	 	 	 
	 	(xlii) 	
      “Rule 144” means Rule 144 under the 1933 Act;

	 	 	 
	 	(xliii) 	
      “Rule 144A” means Rule 144A under the 1933 Act;

	 	 	 
	 	(xliv) 	
      “Rule 506” means Rule 506 of Regulation D;

	 	 	 
	 	(xlv) 	
      “SEC” means the United States Securities and Exchange
      Commission;

	 	 	 
	 	(xlvi) 	
      “Securities Commissions” means the securities regulatory
      authorities of the Offering Jurisdictions collectively, as the case may
      be;

	 	 	 
	 	(xlvii) 	
      “Securities Laws” means the securities legislation and
      regulations of, and the instruments, policies, rules, orders, codes,
      notices and interpretation notes of the securities regulatory authorities
      of, the applicable jurisdiction or jurisdictions collectively (including
      those of the United States);

	 	 	 
	 	(xlviii) 	
      “Special Warrant Certificates” means the certificates
      representing the Special Warrants;

	 	 	 
	 	(xlix) 	
      “Special Warrant Indenture” means the indenture dated the
      Closing Date providing for the creation and issue of the Special Warrants
      among the Corporation, the Lead Agent and Computershare Trust Company of
      Canada;

	 	 	 
	 	(l) 	
      “Special Warrant Shares” means the Common Shares issuable
      upon the exchange of the Special Warrants;

	 	 	 
	 	(li) 	
      “Special Warrants” has the meaning ascribed to such term
      on the face page hereof;

	 	 	 
	 	(lii) 	
      “State” means any one of the 50 states of the United
      States of America or the District of Columbia;

	 	 	 
	 	(liii) 	
      “Stock Exchange” means the TSX Venture Exchange or the
      Toronto Stock Exchange, as applicable;

	 	 	 
	 	(liv) 	
      “Subject Shares” means the Special Warrant Shares, the
      Warrant Shares and the Compensation Shares
collectively;

	 	(lv) 	
      “Subscription Agreements” means the subscription
      agreement to be entered into between the Corporation and each of the
      Purchasers with respect to the purchase of the Offered Securities
      collectively;

	 	 	 
	 	(lvi) 	
      “Subsidiary” means Cochise Aggregates and Materials,
      Inc., a corporation existing under the laws of the State of
  Nevada;

	 	 	 
	 	(lvii) 	
      “Supplementary Material” means, collectively, any
      amendment to the Preliminary Prospectus, the Final Prospectus, the
      Registration Statement, or any amended or supplemental prospectus or
      ancillary material required to be filed with any of the Securities
      Commissions or the SEC pursuant to Securities Laws;

	 	 	 
	 	(lviii) 	
      “Transfer Agent” means American Stock Transfer, the
      registrar and transfer agent for the Common Shares;

	 	 	 
	 	(lix) 	
      “Underlying Securities” means the Special Warrant Shares
      and the Warrant Shares issuable upon the exchange of the Special
      Warrants;

	 	 	 
	 	(lx) 	
      “United States” means the “United States” as defined in
      Regulation S;

	 	 	 
	 	(lxi) 	
      “U.S. Affiliate” means Blackmont Capital Corp., the
      United States broker- dealer affiliate of the Lead Agent;

	 	 	 
	 	(lxii) 	
      “U.S. Institutional Accredited Investor” means an
      institutional “accredited investor” as defined in Rules 501(a)(1), (2),
      (3) and (7) of Regulation D;

	 	 	 
	 	(lxiii) 	
      “U.S. Person” means a “U.S. person” as defined in
      Regulation S;

	 	 	 
	 	(lxiv) 	
      “U.S. Placee” has the meaning assigned in subsection
      3(c)(i);

	 	 	 
	 	(lxv) 	
      “Warrant Certificates” means the certificates
      representing the Warrants;

	 	 	 
	 	(lxvi) 	
      “Warrant Indenture” means the indenture dated the Closing
      Date between the Corporation and Computershare Trust Company of Canada
      governing the Warrants;

	 	 	 
	 	(lxvii) 	
      “Warrant Shares” means the Common Shares which may be
      issued upon the exercise of the Warrants; and

	 	 	 
	 	(lxviii) 	
      “Warrants” means the warrants of the Corporation,
      one-half of one Warrant issuable upon the exchange of each Special
      Warrant, with each whole Warrant to entitle the holder thereof to acquire
      one Warrant Share at any time commencing on the Closing Date and prior to
      5:00 p.m. (Toronto time) on the date which is 60 months after the Closing
      Date at an exercise price of $1.10 per Warrant
Share.

	 	(b) 	
      Other Defined Terms: Whenever used in this
      Agreement, the words and terms “affiliate”, “material fact”, “material
      change”, “misrepresentation”, “executive officer” and “subsidiary” shall
      have the meaning as used in the 1934 Act unless specifically provided
      otherwise herein.

	 	(c) 	
      Plural and Gender: Whenever used in this
      Agreement, words importing the singular number only shall include the
      plural and vice versa and words importing the masculine gender
      shall include the feminine gender and neuter.

	 	 	 
	 	(d) 	
      Currency: All references to monetary amounts in
      this Agreement are to lawful money of the United States.

	 	 	 
	 	(e) 	
      Schedules: The following schedules attached to
      this Agreement, and the Disclosure Schedules delivered to the Agents by
      the Corporation concurrently with this Agreement, are deemed to be a part
      of and incorporated in this Agreement:

	Schedule 	Title 
	 	 
	A 	Officers’ Certificate 
	 	 
	B 	Agents’ Certificate
  

	2. 	
      The Offered Securities

	 	 	 	 
		(a) 	
      Offered Securities:

	 	 	 	 
			(i) 	
      the Special Warrants will be duly and validly created and
      issued pursuant to the terms of the Special Warrant Indenture and will
      have the attributes and characteristics set out therein and herein
      including that each Special Warrant will entitle the holder thereof to
      acquire Underlying Securities for no additional consideration and subject
      to adjustment in certain events;

	 	 	 	 
			(ii) 	
      when issued, the Special Warrant Shares and Warrant
      Shares will be validly issued as fully paid and non-assessable shares of
      the Corporation;

	 	 	 	 
			(iii) 	
      the Special Warrant Indenture shall provide for the
      issuance of the Special Warrants and shall be in such form and contain
      such terms as shall be approved by the Agents and their counsel, each
      acting reasonably.

	 	 	 	 
		(b) 	
      The Warrants: The terms and conditions, and the
      material attributes and characteristics, of the Warrants shall be
      satisfactory to the Corporation and the Agents and consistent with the
      provisions of this Agreement. Such terms and conditions, and material
      attributes and characteristics, will be contained in the Warrant Indenture
      and the Warrant Certificates which will contain, among other things,
      anti-dilution provisions and provisions for the appropriate adjustment in
      the class and number of Warrant Shares or other securities to be received
      on the exercise of Warrants upon the occurrence of certain events,
      including any subdivision, consolidation or reclassification of the Common
      Shares or any payment of dividends or the amalgamation of, or other
      reorganization involving, the Corporation. Subject to adjustment in
      accordance with the provisions of the Warrant Indenture, each whole
      Warrant shall entitle the holder thereof to purchase one Warrant Share at
      any time commencing on the Closing Date and prior to 5:00 p.m. (Vancouver
      time) on the date which is 60 months after the Closing Date at an exercise
      price of $1.10 per Warrant Share.

	
3. 		
The Offering

	
	 	 	 	 
		
(a) 		
Sale on Exempt Basis: The Agents will use the best efforts thereof to arrange for Purchasers in the Offering Jurisdictions. The Agents shall offer for sale on behalf of the Corporation the Offered Securities in the Offering
Jurisdictions in compliance with the Securities Laws of the Offering Jurisdictions and only to such Persons and in such manner so that, pursuant to the provisions of the Securities Laws of the Offering Jurisdictions, no prospectus, registration
statement or offering memorandum or other similar document need be filed with, or delivered to, any Securities Commission in any Offering Jurisdiction in connection therewith.

	
	 	 	 	 
		
(b) 		
United States Securities Law Compliance – Regulation S: The Agents acknowledge that the Offered Securities have not been registered under the 1933 Act or applicable State Securities Laws and may not be offered or sold,
except in accordance with an exemption or exclusion from the registration requirements of the 1933 Act and applicable State Securities Laws. Each Agent severally represents, warrants and covenants to and with the Corporation that the Agent has
offered and sold, and will offer and sell, the Special Warrants outside the United States to non-U.S. Persons in accordance with Rule 903 of Regulation S. Accordingly, subject to subsection 3(c) hereof, neither the Agent, its affiliates nor any
persons acting on its or their behalf, has made or will make: (i) any offer to sell or any solicitation of an offer to buy, any Special Warrants to or for the benefit or account of any U.S. Person or person in the United States, or (ii) any sale of
Special Warrants to any purchaser unless, at the time the buy order was or will have been originated, the purchaser was outside the United States and not a U.S. Person, or the Agent or affiliates or persons acting on its behalf reasonably believe
that such purchaser was outside the United States and not a U.S. Person.

	
	 	 	 	 
		
(c) 		
United States Securities Law Compliance – Regulation D: Blackmont Capital Inc. represents, warrants and covenants to and with the Corporation that it has offered and sold, and will offer and sell, the Special Warrants
in the United States or to U.S. Persons: only as provided in subsections 3(c)(i) through 3(c)(viii) below:

	
	 	 	 	 
			
(i) 		
all offers and sales of Special Warrants to persons in the United States or to or for the benefit or account of a U.S. Person or person in the United States (collectively, “U.S. Placees”) have been or will be made by the
U.S. Affiliate, in accordance with applicable U.S. federal and State broker-dealer requirements;

	
	 	 	 	 
			
(ii) 		
the U.S. Affiliate is a duly registered broker-dealer with the SEC and is a member of, and in good standing with, the National Association of Securities Dealers, Inc. on the date hereof and on the date offers and sales were made
in the United States;

	
	 	 	 	 
			
(iii) 		
any offer, sale or solicitation of an offer to buy the Special Warrants that has been made or will be made to U.S. Placees was or will be made only to U.S. Institutional Accredited Investors in transactions that are exempt from
registration pursuant to Section 4(2) of the 1933 Act and Rule 506 and available exemptions under all applicable State Securities Laws;

	
	 	 	 	 
			
(iv) 		
immediately prior to any offer or sale of the Special Warrant to a U.S. Placee, the Agent and the U.S. Affiliate had or will have reasonable grounds to believe and

	

	 		
      did or will believe that each such U.S. Placee was a U.S.
      Institutional Accredited Investor;

	 	 	 
	 	(v) 	
      none of Blackmont Capital Inc., its affiliates or any
      person acting on its or their behalf has (A) used or will use any form of
      General Solicitation or General Advertising with respect to offers and
      sales of the Offered Securities in the United States or (B) made offers or
      sales in any manner involving a public offering within the meaning of
      Section 4(2) of the 1933 Act;

	 	 	 
	 	(vi) 	
      it has not entered and will not enter into any
      contractual arrangement with respect to the distribution of the Special
      Warrants except with its affiliates, any selling group members or with the
      prior written consent of the Issuer;

	 	 	 
	 	(vii) 	
      all purchasers of Special Warrants that are U.S. Placees
      shall be informed that (A) the Special Warrants, the Special Warrant
      Shares, the Warrants and the Warrant Shares have not been registered under
      the 1933 Act, (B) the Special Warants are being offered and sold to such
      U.S. Placees in reliance upon an exemption from the registration
      requirements of the 1933 Act provided by Section 4(2) of the 1933 Act and
      Rule 506, and (C) the Special Warrants, the Special Warrant Shares, the
      Warrants and the Warrant Shares, if any, will constitute “restricted
      securities” as defined in Rule 144;

	 	 	 
	 	(viii) 	
      prior to completion of any sale of Special Warrants to
      U.S. Placees, each U.S. Placee will be required to complete, execute and
      deliver a subscription agreement in the form or forms consented to by the
      Corporation and the Agent; and

	 	 	 
	 	(ix) 	
      at each Closing, Blackmont Capital Inc., together with
      the U.S. Affiliate, will provide a certificate substantially in the form
      of Schedule B, relating to the manner of the offer and sale of the Special
      Warrants in the United States.

	 	(d) 	
      Regulation M under the 1934 Act: Each Agent
      severally represents, warrants and covenants to and with the Corporation
      that neither the Agent, its affiliates or any person acting on its or
      their behalf has taken or will take, directly or indirectly, any action in
      violation of Regulation M under the 1934 Act in connection with the offer
      and sale of the Special Warrants.

	 	 	 
	 	(e) 	
      Agency Group: The Corporation agrees that, subject
      to the consent of the Corporation, such consent not to be unreasonably
      withheld, the Agents have the right to invite one or more investment
      dealers to form an agency group to participate in the soliciting of offers
      to purchase the Offered Securities. The Agents shall have the exclusive
      right to control all compensation arrangements between the members of the
      agency group. The Corporation grants all of the rights and benefits of
      this Agreement to any investment dealer who is a member of any agency
      group formed by the Agents and appoints the Lead Agent as trustee of such
      rights and benefits for all such investment dealers, and the Lead Agent
      hereby accepts such trust and agrees to hold such rights and benefits for
      and on behalf of all such investment dealers. The Agents shall ensure that
      any investment dealer who is a member of any agency group formed by the
      Agents pursuant to the provisions of this subsection 3(e) or with whom the
      Agents have a contractual relationship with respect to the Offering, if
      any, agrees with the Agents to comply with the covenants and obligations
      given by the Agents herein.

	 	(f) 	
      Covenants of the Agents: Each of the Agents
      covenants with the Corporation that (i) it will comply with the Securities
      Laws of the Offering Jurisdictions in which it solicits or procures
      subscriptions for Offered Securities in connection with the Offering, (ii)
      it will not solicit or procure subscriptions for Offered Securities so as
      to require the registration thereof or the filing of a prospectus with
      respect thereto under the laws of any jurisdiction, and (iii) it will
      obtain from each Purchaser an executed subscription agreement in a form
      acceptable to the Corporation and the Agents, acting reasonably. Each of
      the Agents represents and warrants that it is, and, to the best of its
      knowledge, each member of any agency group formed by the Agents is,
      qualified to so act in the Offering Jurisdictions in which such member
      solicits or procures subscriptions for the Offered Securities.

	 	 	 
	 	(g) 	
      Filings: The Corporation undertakes to file or
      cause to be filed all forms and undertakings required to be filed by the
      Corporation in connection with the Offering so that the distribution of
      the Offered Securities may lawfully occur in the Offering Jurisdictions
      without the necessity of filing a prospectus or an offering memorandum in
      Canada and the Agents undertake to use the commercially reasonable efforts
      thereof to cause the Purchasers of the Offered Securities to complete (and
      it shall be a condition of closing in favour of the Corporation that the
      Purchasers complete and deliver to the Corporation) any forms and
      undertakings required by the Securities Laws of the Offering
      Jurisdictions. All fees payable in connection with such filings shall be
      at the expense of the Corporation.

	 	 	 
	 	(h) 	
      No Offering Memorandum: Neither the Corporation
      nor the Agents shall (i) provide to prospective purchasers of Offered
      Securities any document or other material that would constitute an
      offering memorandum within the meaning of the Securities Laws of the
      Offering Jurisdictions, or (ii) engage in any form of General Solicitation
      or General Advertising in connection with the offer and sale of the
      Offered Securities, including but not limited to, any advertisement,
      article, notice or other communication published in any newspaper,
      magazine, or similar media, broadcast over radio, television or
      telecommunications, including electronic display or the Internet, or
      otherwise, or any seminar or meeting relating to any offer and sale of the
      Offered Securities whose attendees have been invited by a General
      Solicitation or General Advertising, or (iii) make any Directed Selling
      Efforts with respect to the Offered Securities outside the United States
      to non-U.S. Persons.

	4. 	
      Due Diligence

	 	 	 	 
		
      The Corporation shall allow the Agents to conduct all due
      diligence investigations, including meeting with senior management of the
      Corporation and the Auditor, as the Agents shall consider appropriate in
      connection with the Offering.

	 	 	 	 
	5. 	
      Deliveries By Closing Time

	 	 	 	 
		(a) 	
      Deliveries: By the Closing Time:

	 	 	 	 
			(i) 	
      all actions required to be taken by or on behalf of the
      Corporation including, without limitation, the passing of all required
      resolutions of the directors, including committees of the directors, and
      shareholders of the Corporation, shall have occurred in order to complete
      the transactions contemplated by this Agreement and the Subscription
      Agreements, including, without limitation, to

	 		
      issue the Offered Securities, to create and issue the
      Warrants, the Compensation Options and the Special Warrant Shares and to
      reserve for issue and conditionally issue the Warrant Shares and the
      Compensation Shares, and a certified copy of all such resolutions shall
      have been delivered by the Corporation to the Agents;

	 	 	 	 
	 	(ii) 	
      the Corporation shall have delivered or caused to be
      delivered to the Agents

	 	 	 	 
	 		A. 	
      a favourable legal opinion of Delaware counsel to the
      Corporation, Potter Anderson & Corroon LLP, addressed to, among
      others, the Agents and the Purchasers,

	 	 	 	 
	 		B. 	
      a favourable legal opinion of counsel to the Corporation,
      Lang Michener LLP, who may rely on opinions of local counsel acceptable to
      the Agents, addressed to, among others, the Agents and the Purchasers with
      respect to, among other things, the issue of the Special Warrants, the
      Special Warrant Shares and the Warrants, and the exercise of the Warrants
      and the issue of the Warrant Shares, and such other matters as the Agents
      may reasonably require,

	 	 	 	 
	 		C. 	
      a certificate dated the Closing Date signed by an
      appropriate officer of the Corporation and addressed to, among others, the
      Agents and the Purchasers with respect to the articles and by-laws of the
      Corporation, the resolutions of the directors and shareholders, if any, of
      the Corporation and any other corporate action taken relating to this
      Agreement and the Ancillary Documents and with respect to such other
      matters as the Agents may reasonably request and including specimen
      signatures of the signing officers of the Corporation,

	 	 	 	 
	 		D. 	
      a certificate dated the Closing Date addressed to, among
      others, the Agents and the Purchasers signed by the chief executive
      officer and the chief financial officer of the Corporation or any two
      other executive officers of the Corporation acceptable to the Agents
      substantially in the form of the certificate attached hereto as schedule
      A,

	 	 	 	 
	 		E. 	
      a Subscription Agreement from each Purchaser accepted by
      the Corporation,

	 	 	 	 
	 		F. 	
      definitive certificates representing the Offered
      Securities registered in the names of the Purchasers or in such other name
      or names as the Purchasers or the Agents may direct,

	 	 	 	 
	 		G. 	
      definitive certificates representing the Compensation
      Options registered in the name of the Agents or in such other name or
      names as the Agents may direct, and

	 	 	 	 
	 		H. 	
      such further documents as may be contemplated by this
      Agreement or as the Agents may reasonably require,

all in form and substance satisfactory
to the Agents; 

	 	(iii) 	
      the Corporation shall have delivered or cause to be
      delivered payment of the amount payable by the Corporation to the Agents
      by certified cheque or bank draft, including (i) the commission payable by
      the Corporation to the Agents as provided in section 7 of this Agreement
      against delivery from the Agents to the Corporation of a receipt for the
      payment of such commission, (ii) the expenses (excluding legal expenses)
      payable by the Corporation to the Agents as provided in section 15 of this
      Agreement against delivery from the Agents to the Corporation of a receipt
      for the payment of such expenses, and (iii) the legal expenses payable by
      the Corporation to counsel for the Agents as provided in section 15 of
      this Agreement against delivery from such legal counsel to the Corporation
      of a receipt for the payment of such legal expenses; and

	 	 	 	 
	 	(iv) 	
      the Agents shall have delivered or cause to be delivered
      to the Corporation

	 	 	 	 
	 		A. 	
      payment of the aggregate Purchase Price for the Special
      Warrants purchased by the Purchasers of Special Warrants net of (i) the
      commission payable by the Corporation to the Agents as provided in section
      7 of this Agreement, and (ii) the expenses payable by the Corporation to
      the Agents as provided in section 15 of this Agreement by cheque or bank
      draft payable to the Corporation against delivery from the Corporation to
      the Agents of a receipt for the aggregate net Purchase Price for such
      Special Warrants, and

	 	 	 	 
	 		B. 	
      such further documents as may be contemplated by this
      Agreement or as the Corporation may reasonably
require,

all in form and substance satisfactory
  to the Corporation.

	6. 	
      Closing

	 	 	 	 
		(a) 	
      Closing: The Closing shall be completed at the
      offices of counsel for the Corporation at the Closing Time on the Closing
      Date.

	 	 	 	 
		(b) 	
      Conditions of Closing: The following are
      conditions precedent to the obligation of the Agents to complete the
      Closing and of the Purchasers to purchase the Offered Securities, which
      conditions the Corporation hereby covenants and agrees to use the best
      efforts thereof to fulfill within the time set out herein therefor, and
      which conditions may be waived in writing in whole or in part by the
      Agents:

	 	 	 	 
			(i) 	
      the Corporation shall have received all necessary
      approvals and consents, including all necessary regulatory approvals and
      consents required for the completion of the transaction contemplated by
      this Agreement, all in a form satisfactory to the Agents;

	 	 	 	 
			(ii) 	
      receipt by the Agents of the documents set forth in
      section 5 of this Agreement to be delivered to the Agents;

	 	 	 	 
			(iii) 	
      the representations and warranties of the Corporation
      contained herein being true and correct as of the Closing Time with the
      same force and effect as if made at and as of the Closing Time after
      giving effect to the transactions contemplated
hereby;

	 	(iv) 	
      the Corporation having complied with all covenants, and
      satisfied all terms and conditions, contained herein to be complied with
      and satisfied by the Corporation at or prior to the Closing Time;
    and

	 	 	 
	 	(v) 	
      the Agents not having previously terminated the
      obligations thereof pursuant to this
Agreement.

	7. 	
      Fee

	 	 	 	 
		(a) 	
      Commission: In consideration of the agreement of
      the Agents to act as agents of the Corporation in respect of the Offering,
      and in consideration of the services performed and to be performed by the
      Agents in connection therewith, including, without limitation:

	 	 	 	 
			(i) 	
      acting as agents of the Corporation to solicit, on a best
      efforts basis, offers to purchase the Offered Securities;

	 	 	 	 
			(ii) 	
      participating in the preparation of the form of the
      Subscription Agreements and certain of the Ancillary Documents;
  and

	 	 	 	 
			(iii) 	
      advising the Corporation with respect to the private
      placement of the Offered Securities;

	 	 	 	 
			
      the Corporation shall pay to the Agents or as the Agents
      may otherwise direct at the Closing Time against receipt of payment of the
      purchase price for the Offered Securities, a fee of 6% of the aggregate
      Purchase Price for the Offered Securities, on a non-brokered basis, or on
      a brokered basis without the involvement of the Lead Agent. Such fee will
      also be payable by the Corporation to the Agents in respect of any
      securities of the Corporation sold to any prospective investor, on a
      non-brokered basis, or on a brokered basis without the involvement of the
      Lead Agent, that is identified or contacted by the Lead Agent during the
      term of this Agreement, where the sale is completed either during the term
      of this Agreement or within 180 days following the Closing.

	 	 	 	 
		(b) 	
      Taxes: The Corporation and the Agents acknowledge
      and agree that if a separate fee would have been charged to the
      Corporation for the services described in clause 7(a)(i) above, such
      separate fee would represent more than 50% of the fee payable to the
      Agents, and the Corporation hereby further acknowledges and agrees that
      the Agents will rely on the foregoing statement in not charging federal
      goods and services tax on such fee and that the Corporation will forthwith
      pay to the Agents any such tax and any applicable interest and penalties
      for which the Agents are subsequently assessed by the Canadian Revenue
      Agency.

	 	 	 	 
		(c) 	
      Compensation Options: In addition to the
      commission payable to the Agents pursuant to subsection 7(a) hereof, as
      additional consideration for the services performed and to be performed by
      the Agents hereunder, the Corporation shall issue to the Agents, or as the
      Agents may otherwise direct, at the Closing Time, the Compensation Options
      which will entitle the Agents to acquire, in an amount that is equal to 6%
      of the Special Warrants sold pursuant to the Offering, Common Shares at
      any time commencing on the Closing Date and prior to 5:00 p.m. (Vancouver
      time) on the date which is 24 months after the Closing Date at an exercise
      price of $0.75 per Common Share.

	 	(d) 	
      Division of Commission and Compensation Options:
      Notwithstanding which of the Agents has actually sold the Offered
      Securities, the commission payable to the Agents pursuant to subsection
      7(a) hereof and the Compensation Options to be issued to the Agents
      pursuant to subsection 7(c) hereof shall be divided between the Agents as
      to 65% thereof to Blackmont Capital Inc. and as to 35% thereof to Salman
      Partners Inc.

	8. 	
      Representations and Warranties

	 	 	 	 
		
      The Corporation hereby represents and warrants to the
      Agents and the Purchasers, and acknowledges that the Agents and the
      Purchasers are relying upon each of such representations and warranties in
      completing the Closing, as follows:

	 	 	 	 
		(a) 	
      Incorporation and Organization: Each of the
      Corporation and the Subsidiary is a valid and subsisting corporation under
      the laws of its governing jurisdiction and has all requisite corporate
      power and authority to carry on its business as now conducted or proposed
      to be conducted and to own or lease and operate the property and assets
      thereof and the Corporation has all requisite corporate power and
      authority to enter into, execute and deliver this Agreement and the
      Ancillary Documents and to carry out the obligations thereof hereunder and
      thereunder.

	 	 	 	 
		(b) 	
      Qualification as a Foreign Corporation: The
      Corporation and the Subsidiary is licensed, registered or qualified in all
      jurisdictions where the character of the property or assets thereof owned
      or leased or the nature of the activities conducted by it make licensing,
      registration or qualification necessary.

	 	 	 	 
		(c) 	
      Authorized Capital: The Corporation is authorized
      to issue, among other things, 100,000,000 Common Shares, par value $0.01
      per share, of which, as of May 31, 2007, 34,531,282 Common Shares were
      issued and outstanding as fully paid and non- assessable shares.

	 	 	 	 
		(d) 	
      Market for Common Shares: The Common Shares are,
      and at the time of issue of the Offered Securities will be, quoted for
      trading on the Pink Sheets, LLC under the symbol “NRDS” and no order
      ceasing or suspending trading in any securities of the Corporation or the
      trading of any of the Corporation’s issued securities is currently
      outstanding and no proceedings for such purpose are, to the knowledge of
      the Corporation, pending or threatened. Except as disclosed to the Agents,
      the Corporation has not issued, or agreed to issue, any Common Shares or
      any securities exchangeable or exercisable for, or convertible into,
      Common Shares at an effective price per Common Share which is less than
      the Purchase Price during the 30 day period immediately preceding the date
      hereof.

	 	 	 	 
		(e) 	
      Certain Securities Law Matters:

	 	 	 	 
			(i) 	
      there is and has been no failure on the part of the
      Corporation or any of the Corporation’s directors or officers, in their
      capacities as such, to comply in all material respects with any applicable
      provision of the Sarbanes-Oxley Act of 2002 and the rules and regulations
      promulgated in connection therewith, including Section 402 related to
      loans and Sections 302 and 906 related to certifications;

	 	 	 	 
			(ii) 	
      prior to the date hereof, none of the Corporation, its
      directors, officers or, to the best of the knowledge of the Corporation,
      any of the Corporation’s affiliates who

	 		
      are neither directors nor officers of the Corporation,
      have taken any action which is designed to or which has constituted or
      which might have been expected to cause or result in stabilization or
      manipulation of the price of any security of the Corporation, or which is
      a violation of Regulation M under the 1934 Act, in connection with the
      offering of the Special Warrants;

	 	 	 
	 	(iii) 	
      the Corporation is subject to Section 13 of the 1934
      Act;

	 	 	 
	 	(iv) 	
      other than the notification filing on Form D required to
      be filed with the SEC within 15 days after the Closing Date, a current
      report on Form 8-K disclosing the unregistered sale of equity securities
      under Item 3.02 thereof, to be filed with the SEC within 4 days after the
      Closing Date, and a Form 45-106F1 to be filed with the SEC within 10 days
      after the Closing Date, all filings required to be made by the Corporation
      and the Subsidiary pursuant to the Securities Laws and general corporate
      law applicable to them have been made and such filings were true and
      accurate as at the respective dates thereof and the Corporation has not
      filed any confidential material change reports;

	 	 	 
	 	(v) 	
      the Corporation is not, and after giving effect to the
      offering and sale of the Special Warrants, will not be an “investment
      company”, or an entity “controlled” by an “investment company”, as such
      terms are defined in the United States

	 	 	 
	 		
      Investment Company Act of 1940, as
  amended;

	 	 	 
	 	(vi) 	
      neither the Corporation, its directors and officers, nor,
      to the best of the knowledge of the Corporation, any of its predecessors
      or affiliates who are not directors or officers, have been subject to any
      order, judgment or decree by any court of competent jurisdiction
      temporarily, preliminarily or permanently enjoining such person for
      failure to comply with Rule 503 of Regulation D;

	 	 	 
	 	(vii) 	
      assuming compliance with the terms of the Subscription
      Agreement, and this Agreement, neither the Corporation nor any person
      acting on its behalf (except the Agents, their affiliates and any person
      acting on their behalf, in respect of which no representation is made) has
      offered or sold the Special Warrants (or any securities issuable on
      conversion thereof) by means of any General Solicitation or General
      Advertising or, with respect to Special Warrants (or any securities
      issuable on conversion thereof) sold outside the United States to non-U.S.
      Persons, by means of any Directed Selling Efforts, and the Corporation,
      any affiliate of the Corporation and any person acting on its or their
      behalf (except the Agents, their affiliates and any person acting on their
      behalf, in respect of which no representation is made) has complied with
      and will implement the offering restriction requirements of Regulation
      S;

	 	 	 
	 	(viii) 	
      during the period in which the Offered Securities are
      offered for sale, neither the Corporation nor any of its affiliates, nor
      any person acting on its or their behalf (except the Agents, their
      affiliates and any persons acting on any of their behalf, in respect of
      which no representation is made) has taken any action that would cause the
      exemptions or exclusions from the prospectus and registration requirements
      under Securities Laws to be unavailable with respect to offers and sales
      of the Offered Securities pursuant to this
Agreement;

	 	(ix) 	
      the Corporation has not, during the period beginning six
      months prior to the start of the offering of Offered Securities and ending
      six months after the completion of the offering of Offered Securities
      sell, offer for sale or solicit any offer to buy any of its securities in
      the United States in a manner that would be integrated with and would
      cause the exemption from registration provided by Rule 506 of Regulation D
      to be unavailable with respect to offers and sales of the Offered
      Securities pursuant to this Agreement;

	 	 	 
	 	(x) 	
      the Corporation and the Subsidiary each maintain a system
      of internal accounting controls sufficient to provide reasonable
      assurances that (A) transactions are executed in accordance with
      management’s general or specific authorization; (B) transactions are
      recorded as necessary to permit preparation of financial statements in
      conformity with United States generally accepted accounting principles and
      to maintain accountability for assets; (C) access to assets is permitted
      only in accordance with management’s general or specific authorization;
      and (D) the recorded accountability for assets is compared with the
      existing assets at reasonable intervals and appropriate action is taken
      with respect to any differences. Since December 31, 2006, there has been
      no change in the Corporation’s internal control over financial reporting
      that has materially affected, or is reasonably likely to materially
      affect, the Corporation’s internal controls over financial reporting. As
      disclosed in the Information, the Corporation’s Chief Executive Officer
      and Chief Financial Officer have concluded that the Corporation’s
      disclosure controls and procedures are not effective due to certain
      material weaknesses in internal control over financial
reporting;

	 	 	 
	 	(xi) 	
      the principal executive officer and principal financial
      officer of the Corporation have made all certifications required by the
      Sarbanes-Oxley Act of 2002 and any related rules and regulations
      promulgated thereunder by the SEC in connection with the documents
      comprising the Public Record, and the statements contained in all such
      certifications were complete and correct in all material respects as of
      the respective dates made. Neither the Corporation nor any of its officers
      has received notice from the SEC questioning or challenging the accuracy,
      completeness, content, form or manner of filing or submission of such
      certifications.

	 	(f) 	
      Rights to Acquire Securities: Except as disclosed
      in Schedule 8(f) of the Disclosure Schedules, no Person has any agreement,
      option, right or privilege (whether pre-emptive, contractual or otherwise)
      capable of becoming an agreement for the purchase, acquisition,
      subscription for or issue of any of the unissued shares or other
      securities of the Corporation.

	 	 	 
	 	(g) 	
      Rights Plan: The directors of the Corporation have
      not adopted a shareholder rights plan or a similar plan and the
      Corporation is not party to what is commonly referred to as a shareholder
      rights plan agreement.

	 	 	 
	 	(h) 	
      No Pre-emptive Rights: The issue of the Offered
      Securities will not be subject to any pre-emptive right or other
      contractual right to purchase securities granted by the Corporation or to
      which the Corporation is subject.

	 	(i) 	
      Offered Securities: The execution of this
      Agreement and the Subscription Agreements, and the issue by the
      Corporation to the Purchasers of the Offered Securities, will be exempt
      from the registration and prospectus requirements of the Securities Laws
      of the Offering Jurisdictions.

	 	 	 
	 	(j) 	
      Subsidiary: The Subsidiary is the only subsidiary
      of the Corporation.

	 	 	 
	 	(k) 	
      Capital of Subsidiary: All of the outstanding
      shares of the Subsidiary are issued and outstanding as fully paid and
      non-assessable shares and are legally and beneficially owned by the
      Corporation and, except for a security interest granted to Ronald Hirsch
      and Stephen Seymour as the lenders under a certain $600,000 revolving line
      of credit agreement with the Corporation dated June 21, 2005, as amended,
      no Person has any agreement, option, right or privilege (whether
      pre-emptive, contractual or otherwise) capable of becoming an agreement
      for the purchase, acquisition, subscription for or issue of any of the
      unissued shares or other securities of the Subsidiary or for the purchase
      or acquisition of any of the outstanding shares or other securities of the
      Subsidiary.

	 	 	 
	 	(l) 	
      Issue of Offered Securities: All necessary
      corporate action has been taken to authorize the issue and sale of, and
      the delivery of certificates representing, the Offered Securities and,
      upon payment of the requisite consideration therefor, the Special Warrant
      Shares will be validly issued as fully paid and non-assessable shares, and
      the Warrants will be validly issued and, upon the issue thereof, the
      Warrant Shares will be validly issued as fully paid and non-assessable
      shares.

	 	 	 
	 	(m) 	
      Consents, Approvals and Conflicts: None of the
      offering and sale of the Offered Securities, the execution and delivery of
      this Agreement or the Ancillary Documents, the compliance by the
      Corporation with the provisions of this Agreement and the Ancillary
      Documents or the consummation of the transactions contemplated herein and
      therein including, without limitation, the issue of the Offered Securities
      to the Purchasers for the consideration and upon the terms and conditions
      as set forth herein and the issue of the Warrant Shares for the
      consideration and upon the terms and conditions set forth in the Warrant
      Indenture and the Warrant Certificates, do or will (i) require the
      consent, approval, or authorization, order or agreement of, or
      registration or qualification with, any governmental agency, body or
      authority, court, stock exchange, securities regulatory authority or other
      Person, except (A) such as have been obtained, or (B) such as may be
      required under the Securities Laws of the Offering Jurisdictions and will
      be obtained by the Closing Date, or (ii) conflict with or result in any
      breach or violation of any of the provisions of, or constitute a default
      under, any indenture, mortgage, deed of trust, lease or other agreement or
      instrument to which the Corporation or the Subsidiary is a party or by
      which any of them or any of the properties or assets thereof is bound, or
      the articles or by-laws or any other constating document of the
      Corporation or the Subsidiary or any resolution passed by the directors
      (or any committee thereof) or shareholders of the Corporation or the
      Subsidiary, or any statute or any judgment, decree, order, rule, policy or
      regulation of any court, governmental authority, arbitrator, stock
      exchange or securities regulatory authority applicable to the Corporation
      or the Subsidiary or any of the properties or assets thereof which could
      have a material adverse effect on the condition (financial or otherwise),
      business, properties or results of operations of the Corporation or the
      Subsidiary.

	 	 	 
	 	(n) 	
      Authority and Authorization: The Corporation has
      full corporate power and authority to enter into this Agreement and the
      Ancillary Documents and to do all acts and things
and

	 		
      execute and deliver all documents as are required
      hereunder and thereunder to be done, observed, performed or executed and
      delivered by it in accordance with the terms hereof and thereof and the
      Corporation has taken all necessary corporate action to authorize the
      execution, delivery and performance of this Agreement and the Ancillary
      Documents and to observe and perform the provisions of this Agreement and
      the Ancillary Documents in accordance with the provisions hereof and
      thereof including, without limitation, the issue of the Offered Securities
      to the Purchasers for the consideration and upon the terms and conditions
      set forth herein and the issue of the Warrant Shares for the consideration
      and upon the terms and conditions set forth in the Warrant Indenture and
      the Warrant Certificates.

	 	 	 	 
	 	(o) 	
      Validity and Enforceability: Each of this
      Agreement and the Subscription Agreements has been authorized, executed
      and delivered by the Corporation and constitutes a valid and legally
      binding obligation of the Corporation enforceable against the Corporation
      in accordance with the terms thereof and upon being executed and delivered
      the Warrant Certificates will constitute valid and legally binding
      obligations of the Corporation enforceable against the Corporation in
      accordance with the terms thereof.

	 	 	 	 
	 	(p) 	
      Compensation Options:

	 	 	 	 
	 		(i) 	
      The Corporation has all requisite corporate power and
      authority to issue the Compensation Options and to enter into, execute and
      deliver and to carry out the obligations thereof under the Compensation
      Option Certificates. All necessary corporate action has been taken by the
      Corporation to authorize the issue of the Compensation Options in
      accordance with the terms and conditions hereof and, when issued, the
      Compensation Options will be validly issued and to authorize the creation,
      execution, delivery and performance of the Compensation Option
      Certificates and to observe and perform the provisions of the Compensation
      Option Certificates in accordance with the provisions thereof including,
      without limitation, the issue of the Compensation Shares for the
      consideration and upon the terms and conditions set forth in the
      Compensation Option Certificates.

	 	 	 	 
	 		(ii) 	
      The Compensation Options Certificates, when issued, will
      constitute a valid and legally binding obligation of the Corporation
      enforceable against the Corporation in accordance with the terms thereof.
      None of the issue of the Compensation Options, the execution and delivery
      of the Compensation Option Certificates, the compliance by the Corporation
      with the provisions of the Compensation Option Certificates or the
      consummation of the transactions contemplated therein including, without
      limitation, the issue of the Compensation Shares for the consideration and
      upon the terms and conditions set forth in the Compensation Option
      Certificates, do or will (i) require the consent, approval, or
      authorization, order or agreement of, or registration or qualification
      with, any governmental agency, body or authority, court, stock exchange,
      securities regulatory authority or other Person, except (A) such as have
      been obtained, or (B) such as may be required under the Securities Laws of
      the Offering Jurisdictions and will be obtained by the Closing Date, or
      (ii) conflict with or result in any breach or violation of any of the
      provisions of, or constitute a default under, any indenture, mortgage,
      deed of trust, lease or other agreement or instrument to which the
      Corporation is a party or by which it or any of the properties or assets
      thereof is bound, or the articles or by-laws of the Corporation or any
      resolution passed by the directors (or any committee thereof) or
      shareholders of the Corporation, or

	 		
      any statute or any judgment, decree, order, rule, policy
      or regulation of any court, governmental authority, any arbitrator, stock
      exchange or securities regulatory authority applicable to the Corporation
      or any of the properties or assets thereof which could have a material
      adverse effect on the condition (financial or otherwise), business,
      properties or results of operations of the Corporation.

	 	 	 
	 	(iii) 	
      None of the issue of the Compensation Options or the
      Compensation Shares will be subject to any pre-emptive right or other
      contractual right to purchase securities granted by the Corporation or to
      which the Corporation is subject.

	 	 	 
	 	(iv) 	
      The issue by the Corporation to the Agents of the
      Compensation Options will be exempt from: (A) the registration and
      prospectus requirements of the Securities Laws of the Province of Ontario
      in respect of Blackmont; (B) the registration and prospectus requirements
      of the Securities Laws of the Province of British Columbia in respect of
      Salman; and (C) the registration requirements of the Securities Laws of
      the United States.

	 	(q) 	
      Public Disclosure: Each of the documents in the
      Public Record is, as of the date thereof, in compliance in all material
      respects with applicable Securities Laws and did not contain any untrue
      statement of a material fact or omit to state a material fact required to
      be stated therein or necessary to make the statements therein, in light of
      the circumstances under which they were made, not misleading and such
      documents collectively constitute full, true and plain disclosure of all
      material facts relating to the Corporation and do not contain any untrue
      statement of a material fact or omit to state a material fact required to
      be stated therein or necessary to make the statements therein, in light of
      the circumstances under which they were made, not misleading, as of the
      date hereof. There is no fact known to the Corporation which the
      Corporation has not publicly disclosed which materially adversely affects,
      or so far as the Corporation can reasonably foresee, will materially
      adversely affect, the assets, liabilities (contingent or otherwise),
      capital, affairs, business, prospects, operations or condition (financial
      or otherwise) of the Corporation or the ability of the Corporation to
      perform its obligations under this Agreement or the Ancillary Documents or
      which would otherwise be material to any Person intending to make an
      equity investment in the Corporation (save and except the information
      concerning this Offering).

	 	 	 
	 	(r) 	
      Timely Disclosure: Except as disclosed in the
      Public Record and Schedule 8(r) of the Disclosure Schedules, since January
      1, 2004, the Corporation is in compliance with all timely disclosure
      obligations under the 1933 Act and the 1934 Act and, without limiting the
      generality of the foregoing, there has not occurred any material adverse
      change in the assets, liabilities (contingent or otherwise), capital,
      affairs, business, prospects, operations or condition (financial or
      otherwise) of the Corporation or the Subsidiary which has not been
      publicly disclosed and none of the documents filed by or on behalf of the
      Corporation pursuant to applicable Securities Laws contain a
      misrepresentation (as such term is used in the 1934 Act) at the date of
      the filing thereof.

	 	 	 
	 	(s) 	
      Accounting Controls: The Corporation maintains a
      system of internal accounting controls sufficient to provide reasonable
      assurance that: (i) transactions are completed in accordance with the
      general or a specific authorization of management of the Corporation; (ii)
      transactions are recorded as necessary to permit the preparation of
      consolidated financial statements for the Corporation in conformity with
      United States generally accepted accounting principles and to maintain
      asset accountability; (iii) access

	 		
      to assets of the Corporation and the Subsidiary is
      permitted only in accordance with the general or a specific authorization
      of management of the Corporation; and (iv) the recorded accountability for
      assets of the Corporation and the Subsidiary is compared with the existing
      assets of the Corporation and the Subsidiary at reasonable intervals and
      appropriate action is taken with respect to any differences
  therein.

	 	 	 	 
	 	(t) 	
      No Cease Trade Order: No order preventing, ceasing
      or suspending trading in any securities of the Corporation or prohibiting
      the issue and sale of securities by the Corporation has been issued and no
      proceedings for either of such purposes have been instituted or, to the
      best of the knowledge of the Corporation, are pending, contemplated or
      threatened.

	 	 	 	 
	 	(u) 	
      Auditors:

	 	 	 	 
	 		(i) 	
      the auditors who audited the consolidated financial
      statements of the Corporation and the Subsidiary for the years ended
      December 31, 2006 and 2005 and who provided their audit report thereon are
      independent public accountants as required under the 1933 Act and the 1934
      Act; and

	 	 	 	 
	 		(ii) 	
      except for certain comments which corroborate the
      conclusions of the Corporation’s Chief Executive Officer and Chief
      Financial Officer concerning material weaknesses in the Corporation’s
      internal controls disclosed in the Information, the Corporation’s auditors
      have not provided any material comments or recommendations to the
      Corporation regarding its accounting policies, internal control systems or
      other accounting or financial practices in respect of the years ended
      December 31, 2006 and 2005.

	 	 	 	 
	 	(v) 	
      Financial Statements: The audited consolidated
      financial statements of the Corporation for the year ended December 31,
      2006, together with the auditors’ report thereon and the notes thereto,
      and the unaudited interim consolidated financial statements of the
      Corporation for the period ended March 31, 2007 and the notes thereto,
      have been prepared in accordance with United States generally accepted
      accounting principles applied on a basis consistent with prior periods
      (except as disclosed in such consolidated financial statements), are
      substantially correct in every particular and present fairly the financial
      condition and position of the Corporation on a consolidated basis as at
      the dates thereof and such consolidated financial statements contain no
      direct or implied statement of a material fact which is untrue on the date
      of such consolidated financial statements and do not omit to state any
      material fact which is required by United States generally accepted
      accounting principles or by applicable law to be stated or reflected
      therein or which is necessary to make the statements contained therein not
      misleading. All disclosures in the Public Record regarding “non-GAAP
      financial measures” (as such term is defined by the rules and regulations
      of the SEC) comply with Regulation G, to the extent applicable.

	 	 	 	 
	 	(w) 	
      Changes in Financial Position: Since March 31,
      2007, neither:

	 	 	 	 
	 		(i) 	
      the Corporation nor the Subsidiary has paid or declared
      any dividend or incurred any material capital expenditure or made any
      commitment therefor;

	 	 	 	 
	 		(ii) 	
      the Corporation nor the Subsidiary has incurred any
      obligation or liability, direct or indirect, contingent or otherwise,
      except in the ordinary course of business and

	 		
      which is not, and which in the aggregate are not,
      material, except that the Corporation has entered into an agreement to
      move certain crushing equipment from the Gold Strike Mine near Carlin,
      Nevada to the Corporation’s Johnson Camp Mine property at a cost of
      $550,000, and the Corporation continues to incur exploratory drilling
      costs in connection with the Corporation’s option on the Coyote Springs
      property (having incurred approximately $330,000 in such costs since March
      31, 2007); and

	 	 	 
	 	(iii) 	
      the Corporation nor the Subsidiary has entered into any
      material transaction;

	 		
      except in each case as disclosed in the
    Information.

	 	 	 	 
	 	(x) 	
      Insolvency: Since January 1, 2004, neither the
      Corporation nor the Subsidiary has committed an act of bankruptcy or
      sought protection from the creditors thereof before any court or pursuant
      to any legislation, proposed a compromise or arrangement to the creditors
      thereof generally, taken any proceeding with respect to a compromise or
      arrangement, taken any proceeding to be declared bankrupt or wound up,
      taken any proceeding to have a receiver appointed of any of the assets
      thereof, had any Person holding any encumbrance, lien, charge, hypothec,
      pledge, mortgage, title retention agreement or other security interest or
      receiver take possession of any of the property thereof, had an execution
      or distress become enforceable or levied upon any portion of the property
      thereof or had any petition for a receiving order in bankruptcy filed
      against it.

	 	 	 	 
	 	(y) 	
      No Contemplated Changes: Except as disclosed in
      the Information, neither the Corporation nor the Subsidiary has approved,
      is contemplating, has entered into any agreement in respect of, or has any
      knowledge of:

	 	 	 	 
	 		(i) 	
      the purchase of any property or assets or any interest
      therein or the sale, transfer or other disposition of any property or
      assets or any interest therein currently owned, directly or indirectly, by
      the Corporation or the Subsidiary whether by asset sale, transfer of
      shares or otherwise;

	 	 	 	 
	 		(ii) 	
      the change of control (by sale or transfer of shares or
      sale of all or substantially all of the property and assets of the
      Corporation or the Subsidiary or otherwise) of the Corporation or the
      Subsidiary; or

	 	 	 	 
	 		(iii) 	
      a proposed or planned disposition of shares by any
      shareholder who owns, directly or indirectly, 10% or more of the
      outstanding shares of the Corporation or the Subsidiary.

	 	 	 	 
	 	(z) 	
      Insurance: The assets of the Corporation and of
      the Subsidiary and the business and operations thereof are insured against
      loss or damage with responsible insurers on a basis consistent with
      insurance obtained by reasonably prudent participants in a comparable
      business in comparable circumstances, such coverage is in full force and
      effect and the Corporation and the Subsidiary has not failed to promptly
      give any notice or present any material claim thereunder.

	 	 	 	 
	 	(aa) 	
      Taxes and Tax Returns: Except as disclosed in
      Schedule 8(aa) of the Disclosure Schedules, the Corporation and the
      Subsidiary has filed in a timely manner all necessary tax returns and
      notices and has paid all applicable taxes of whatsoever nature for all
      tax

	 		
      years prior to the date hereof to the extent that such
      taxes have become due and neither the Corporation nor the Subsidiary is
      aware of any tax deficiencies or interest or penalties accrued or
      accruing, or alleged to be accrued or accruing, thereon where, in any of
      the above cases, it might reasonably be expected to result in any material
      adverse change in the condition (financial or otherwise), or in the
      earnings, business, affairs or prospects of the Corporation or the
      Subsidiary and there are no agreements, waivers or other arrangements
      providing for an extension of time with respect to the filing of any tax
      return by any of them or the payment of any material tax, governmental
      charge, penalty, interest or fine against any of them. There are no
      material actions, suits, proceedings, investigations or claims now
      threatened or pending against, to the knowledge of the Corporation, the
      Corporation or the Subsidiary which could result in a material liability
      in respect of taxes, charges or levies of any governmental authority,
      penalties, interest, fines, assessments or reassessments or any matters
      under discussion with any governmental authority relating to taxes,
      governmental charges, penalties, interest, fines, assessments or
      reassessments asserted by any such authority, and, except as disclosed in
      Schedule 8(aa) of the Disclosure Schedules, the Corporation and the
      Subsidiary has withheld (where applicable) from each payment to each of
      the present and former officers, directors, employees and consultants
      thereof the amount of all taxes and other amounts, including, but not
      limited to, income tax and other deductions, required to be withheld
      therefrom, and has paid the same or will pay the same when due to the
      proper tax or other receiving authority within the time required under
      applicable tax legislation.

	 	 	 
	 	(bb) 	
      Compliance with Laws, Licenses and Permits: To the
      best of the Corporation’s knowledge after due inquiry, each of the
      Corporation and the Subsidiary has conducted and is conducting the
      business thereof in compliance in all material respects with all
      applicable laws, rules, regulations, tariffs, orders and directives of
      each jurisdiction in which it carries on business, and, except as
      disclosed in Schedule 8 (bb) of the Disclosure Schedules, possesses all
      material approvals, consents, certificates, registrations, authorizations,
      permits and licenses issued by the appropriate provincial, state,
      municipal, federal or other regulatory agency or body necessary to carry
      on the business currently carried on, or as currently contemplated to be
      carried on, by it, and, except as disclosed in Schedule 8(bb) of the
      Disclosure Schedules, is in compliance in all material respects with the
      terms and conditions of all such approvals, consents, certificates,
      authorizations, permits and licenses and with all laws, regulations,
      tariffs, rules, orders and directives material to the operations thereof,
      and neither the Corporation nor the Subsidiary has received any notice of
      the modification, revocation or cancellation of, or any intention to
      modify, revoke or cancel or any proceeding relating to the modification,
      revocation or cancellation of any such approval, consent, certificate,
      authorization, permit or license which, singly or in the aggregate, if the
      subject of an unfavourable decision, order, ruling or finding, would
      materially adversely affect the conduct of the business or operations of,
      or the assets, liabilities (contingent or otherwise), condition (financial
      or otherwise) or prospects of, the Corporation or the
Subsidiary.

	 	 	 
	 	(cc) 	
      Agreements and Actions: Neither the Corporation
      nor the Subsidiary is in violation of any material term of the articles or
      by-laws or any constating document thereof. Neither the Corporation nor
      the Subsidiary is in violation of any term or provision of any agreement,
      indenture or other instrument applicable to it which would, or could,
      result in any material adverse effect on the business, condition
      (financial or otherwise), capital, affairs or operations of the
      Corporation or the Subsidiary. Neither the Corporation nor the Subsidiary
      is in default in the payment of any obligation owed which is now due, and
      which has not been deferred with the agreement of the creditor, and there
      is no action,

	 		
      suit, proceeding or investigation commenced, pending or,
      to the knowledge of the Corporation after due inquiry, threatened which,
      either in any case or in the aggregate, might result in any material
      adverse effect on the business, condition (financial or otherwise),
      capital, affairs, prospects or operations of the Corporation or the
      Subsidiary or in any of the material properties or assets thereof or in
      any material liability on the part of the Corporation or the Subsidiary or
      which places, or could place, in question the validity or enforceability
      of this Agreement, the Ancillary Documents or any document or instrument
      delivered, or to be delivered, by the Corporation pursuant hereto or
      thereto.

	 	 	 
	 	(dd) 	
      Owner of Property: The Corporation and the
      Subsidiary are the absolute legal and beneficial owner of, and have good
      and marketable title to, all of the material property or assets thereof as
      described in the Information, free of all mortgages, liens, charges,
      pledges, security interests, encumbrances, claims or demands whatsoever,
      other than those described in the Information and Schedule 8(dd) of the
      Disclosure Schedules, and no other property rights are necessary for the
      conduct of the business of the Corporation or the Subsidiary as currently
      conducted or currently contemplated to be conducted, neither the
      Corporation nor the Subsidiary knows of any claim or the basis for any
      claim that might or could adversely affect the right thereof to use,
      transfer or otherwise exploit such property rights and, except as
      disclosed in the Information, neither the Corporation nor the Subsidiary
      has any responsibility or obligation to pay any commission, royalty,
      licence fee or similar payment to any Person with respect to the property
      rights thereof.

	 	 	 
	 	(ee) 	
      Mineral Rights: The Corporation and the Subsidiary
      hold either freehold title, mining leases, mining claims or participating
      interests or other conventional property, proprietary or contractual
      interests or rights, recognized in the jurisdiction in which a particular
      property is located, in respect of the ore bodies and minerals located in
      properties in which the Corporation and the Subsidiary have an interest as
      described in the Information under valid, subsisting and enforceable title
      documents or other recognized and enforceable agreements or instruments,
      sufficient to permit the Corporation or the Subsidiary to explore the
      minerals relating thereto, all such property, leases or claims and all
      property, leases or claims in which the Corporation or the Subsidiary has
      an interest or right have been validly located and recorded in accordance
      with all applicable laws and are valid and subsisting, the Corporation and
      the Subsidiary have all necessary surface rights, access rights and other
      necessary rights and interests relating to the properties in which the
      Corporation and the Subsidiary have an interest as described in the
      Information granting the Corporation or the Subsidiary the right and
      ability to explore for minerals, ore and metals for development purposes
      as are appropriate in view of the rights and interest therein of the
      Corporation or the Subsidiary, with only such exceptions as do not
      materially interfere with the use made by the Corporation or the
      Subsidiary of the rights or interests so held and each of the proprietary
      interests or rights and each of the documents, agreements and instruments
      and obligations relating thereto referred to above is currently in good
      standing in the name of the Corporation or the Subsidiary.

	 	 	 
	 	(ff) 	
      Property Agreements: Any and all of the agreements
      and other documents and instruments pursuant to which the Corporation or
      the Subsidiary holds the property and assets thereof (including any
      interest in, or right to earn an interest in, any property) are valid and
      subsisting agreements, documents or instruments in full force and effect,
      enforceable in accordance with terms thereof, neither the Corporation nor
      the Subsidiary is in default of any of the material provisions of any such
      agreements, documents or instruments nor has any such default been
      alleged, and such properties and assets are in good standing under the
      applicable statutes and regulations of the jurisdictions in
  which

	 		
      they are situated, all leases, licences and claims
      pursuant to which the Corporation or the Subsidiary derive the interests
      thereof in such property and assets are in good standing and there has
      been no material default under any such lease, licence or claim and all
      taxes required to be paid with respect to such properties and assets to
      the date hereof have been paid. None of the properties (or any interest
      in, or right to earn an interest in, any property) of the Corporation or
      the Subsidiary is subject to any right of first refusal or purchase or
      acquisition right which is not disclosed in the Information.

	 	 	 
	 	(gg) 	
      No Defaults: Neither the Corporation nor the
      Subsidiary is in default of any material term, covenant or condition under
      or in respect of any judgment, order, agreement or instrument to which it
      is a party or to which it or any of the property or assets thereof are or
      may be subject, and no event has occurred and is continuing, and no
      circumstance exists which has not been waived, which constitutes a default
      in respect of any material commitment, agreement, document or other
      instrument to which the Corporation or the Subsidiary is a party or by
      which it is otherwise bound entitling any other party thereto to
      accelerate the maturity of any material amount owing thereunder or which
      could have a material adverse effect upon the condition (financial or
      otherwise), capital, property, assets, operations or business of the
      Corporation or the Subsidiary.

	 	 	 
	 	(hh) 	
      Compliance with Employment Laws: Except as
      disclosed in the Information and Schedule 8(hh) of the Disclosure
      Schedules, the Corporation and the Subsidiary is in compliance with all
      laws and regulations respecting employment and employment practices, terms
      and conditions of employment, pay equity and wages, except where such
      non-compliance would not constitute an adverse material fact concerning
      the Corporation or the Subsidiary or result in an adverse material change
      to the Corporation or the Subsidiary, and has not and is not engaged in
      any unfair labour practice, there is no labour strike, dispute, slowdown,
      stoppage, complaint or grievance pending or, to the best of the knowledge
      of the Corporation after due inquiry, threatened against the Corporation
      or the Subsidiary, no union representation question exists respecting the
      employees of the Corporation or the Subsidiary and no collective
      bargaining agreement is in place or currently being negotiated by the
      Corporation or the Subsidiary, neither the Corporation nor the Subsidiary
      has received any notice of any unresolved matter and there are no
      outstanding orders under any employment or human rights legislation in any
      jurisdiction in which the Corporation or the Subsidiary carries on
      business or has employees, no employee has any agreement as to the length
      of notice required to terminate his or her employment with the Corporation
      or the Subsidiary in excess of twelve months or equivalent compensation
      and all benefit and pension plans of the Corporation or the Subsidiary are
      funded in accordance with applicable laws and no past service funding
      liability exist thereunder.

	 	 	 
	 	(ii) 	
      Employee Plans: Except as disclosed in Schedule
      8(ii) of the Disclosure Schedules, each material plan for retirement,
      bonus, stock purchase, profit sharing, stock option, deferred
      compensation, severance or termination pay, insurance, medical, hospital,
      dental, vision care, drug, sick leave, disability, salary continuation,
      legal benefits, unemployment benefits, vacation, pension, incentive or
      otherwise contributed to, or required to be contributed to, by the
      Corporation or the Subsidiary for the benefit of any current or former
      officer, director, employee or consultant of the Corporation has been
      maintained in material compliance with the terms thereof and with the
      requirements prescribed by any and all statutes, orders, rules, policies
      and regulations that are applicable to any such
plan.

	 	(jj) 	
      Accruals: All material accruals for unpaid
      vacation pay, premiums for unemployment insurance, health premiums,
      federal or provincial pension plan premiums, accrued wages, salaries and
      commissions and payments for any plan for any officer, director, employee
      or consultant of the Corporation or the Subsidiary have been accurately
      reflected in the books and records of the Corporation.

	 	 	 	 
	 	(kk) 	
      Work Stoppage: There has not been, and there is
      not currently, any labour trouble which is adversely effecting or could
      adversely affect, in a material manner, the conduct of the business of the
      Corporation or the Subsidiary.

	 	 	 	 
	 	(ll) 	
      Environmental Compliance: Except as disclosed in
      the Information and Schedule 8(ll) of the Disclosure Schedules, the
      Corporation and the Subsidiary:

	 	 	 	 
	 		(i) 	
      and the property, assets and operations thereof comply in
      all material respects with all applicable Environmental Laws (which term
      means and includes, without limitation, any and all applicable
      international, federal, provincial, state, municipal or local laws,
      statutes, regulations, treaties, orders, judgments, decrees, ordinances,
      official directives and all authorizations relating to the environment,
      occupational health and safety, or any Environmental Activity (which term
      means and includes, without limitation, any past, present or future
      activity, event or circumstance in respect of a Contaminant (which term
      means and includes, without limitation, any pollutants, dangerous
      substances, liquid wastes, hazardous wastes, hazardous materials,
      hazardous substances or contaminants or any other matter including any of
      the foregoing, as defined or described as such pursuant to any
      Environmental Law), including, without limitation, the storage, use,
      holding, collection, purchase, accumulation, assessment, generation,
      manufacture, construction, processing, treatment, stabilization,
      disposition, handling or transportation thereof, or the release, escape,
      leaching, dispersal or migration thereof into the natural environment,
      including the movement through or in the air, soil, surface water or
      groundwater));

	 	 	 	 
	 		(ii) 	
      do not have any knowledge of, and have not received any
      notice of, any material claim, judicial or administrative proceeding,
      pending or threatened against, or which may affect, either the Corporation
      or the Subsidiary or any of the property, assets or operations thereof,
      relating to, or alleging any violation of any Environmental Laws, the
      Corporation is not aware of any facts which could give rise to any such
      claim or judicial or administrative proceeding and neither the Corporation
      nor the Subsidiary nor any of the property, assets or operations thereof
      is the subject of any investigation, evaluation, audit or review by any
      Governmental Authority (which term means and includes, without limitation,
      any national, federal government, province, state, municipality or other
      political subdivision of any of the foregoing, any entity exercising
      executive, legislative, judicial, regulatory or administrative functions
      of or pertaining to government and any corporation or other entity owned
      or controlled (through stock or capital ownership or otherwise) by any of
      the foregoing) to determine whether any violation of any Environmental
      Laws has occurred or is occurring or whether any remedial action is needed
      in connection with a release of any Contaminant into the environment,
      except for compliance investigations conducted in the normal course by any
      Governmental Authority;

	 	(iii) 	
      have not given or filed any notice under any federal,
      state, provincial or local law with respect to any Environmental Activity,
      the Corporation and the Subsidiary do not have any liability (whether
      contingent or otherwise) in connection with any Environmental Activity and
      the Corporation is not aware of any notice being given under any federal,
      state, provincial or local law or of any liability (whether contingent or
      otherwise) with respect to any Environmental Activity relating to or
      affecting the Corporation or the Subsidiary or the property, assets,
      business or operations thereof;

	 	 	 
	 	(iv) 	
      do not store any hazardous or toxic waste or substance on
      the property thereof and have not disposed of any hazardous or toxic
      waste, in each case in a manner contrary to any Environmental Laws, and
      there are no Contaminants on any of the premises at which the Corporation
      or the Subsidiary carries on business, in each case other than in
      compliance with Environmental Laws; and

	 	 	 
	 	(v) 	
      are not subject to any contingent or other liability
      relating to the restoration or rehabilitation of land, water or any other
      part of the environment or non- compliance with Environmental
  Law.

	 	(mm) 	
      No Litigation: There are no actions, suits,
      proceedings, inquiries or investigations existing, pending or, to the
      knowledge of the Corporation after due inquiry, threatened against or
      which adversely affect the Corporation or the Subsidiary or to which any
      of the property or assets thereof is subject, at law or equity, or before
      or by any court, federal, provincial, state, municipal or other
      governmental department, commission, board, bureau, agency or
      instrumentality, domestic or foreign, which may in any way materially
      adversely affect the condition (financial or otherwise), capital,
      property, assets, operations or business of the Corporation or the
      Subsidiary or the ability of any of them to perform the obligations
      thereof and neither the Corporation or the Subsidiary is subject to any
      judgment, order, writ, injunction, decree, award, rule, policy or
      regulation of any Governmental Authority, which, either separately or in
      the aggregate, may result in a material adverse effect on the condition
      (financial or otherwise), capital, property, assets, operations or
      business of the Corporation or the Subsidiary or the ability of the
      Corporation to perform its obligations under this Agreement or the
      Ancillary Documents.

	 	 	 
	 	(nn) 	
      Intellectual Property: The Corporation or the
      Subsidiary owns or possesses adequate enforceable rights to use all
      trademarks, copyrights and trade secrets used or proposed to be used in
      the conduct of the business thereof and, to the knowledge of the
      Corporation, after due inquiry, neither the Corporation nor the Subsidiary
      is infringing upon the rights of any other Person with respect to any such
      trademarks, copyrights or trade secrets and no other Person has infringed
      any such trademarks, copyrights or trade secrets.

	 	 	 
	 	(oo) 	
      Non-Arm’s Length Transactions: Except as disclosed
      in the Information, neither the Corporation nor the Subsidiary owes any
      amount to, nor has the Corporation or the Subsidiary any present loans to,
      or borrowed any amount from or is otherwise indebted to, any related
      person (as such term is defined in the Item 404 of Regulation S-B
      promulgated by the SEC) in respect of whom disclosure would be required to
      be included under Item 12 of Form 10-KSB, except for usual employee
      reimbursements and compensation paid in the ordinary and normal course of
      the business of the Corporation or the Subsidiary. Except usual employee
      or consulting arrangements made in the ordinary and normal course of
      business, neither the Corporation nor the Subsidiary is a party to any
      contract, agreement or understanding with any officer, director, employee
      or

	 		
      securityholder of any of them or any other Person not
      dealing at arm’s length with the Corporation and the Subsidiary. No
      officer, director or employee of the Corporation or the Subsidiary and no
      Person which is an affiliate or associate of any of the foregoing Persons,
      owns, directly or indirectly, any interest (except for shares representing
      less than 5% of the outstanding shares of any class or series of any
      publicly traded company) in, or is an officer, director, employee or
      consultant of, any Person which is, or is engaged in, a business
      competitive with the business of the Corporation or the Subsidiary which
      could materially adversely impact on the ability to properly perform the
      services to be performed by such Person for the Corporation or the
      Subsidiary. No officer, director, employee or securityholder of the
      Corporation or the Subsidiary has any cause of action or other claim
      whatsoever against, or owes any amount to, the Corporation or the
      Subsidiary except for claims in the ordinary and normal course of the
      business of the Corporation or the Subsidiary such as for accrued vacation
      pay or other amounts or matters which would not be material to the
      Corporation.

	 	 	 	 
	 	(pp) 	
      Material Contracts: Except as disclosed in the
      Information, the only material contracts to which the Corporation or the
      Subsidiary is a party or by which any of them are bound are:

	 	 	 	 
	 		(i) 	
      Construction Contract with Intermountain Rigging and
      Heavy Haul, dated May 17, 2007, regarding transport of material to Johnson
      Camp Mine; and

	 	 	 	 
	 		(ii) 	
      Contract for Services with Boart Longyear Company dated
      January 24, 2007,

	 	 	 	 
	 		
      and all such contracts are valid and subsisting
      agreements in full force and effect unamended and there exists no material
      default or event, occurrence, condition or act which, with the giving of
      notice, the lapse of time or the happening of any event or condition,
      would become a material default thereunder by any party thereto.

	 	 	 	 
	 	(qq) 	
      Website: The website of the Corporation, if any,
      does not contain material information with respect to the Corporation
      which is incomplete, incorrect or omits to state a fact so as to render
      such information misleading, or any news release which has not been
      disseminated on a news wire service and all information contained on any
      of such websites in respect of the Offering complies with the Securities
      Laws of the Offering Jurisdictions including, but not limited to,
      restrictions on promotional material disseminated before and during the
      Offering.

	 	 	 	 
	 	(rr) 	
      Minute Books: The minute books of the Corporation,
      all of which have been or will be made available to the Agents or counsel
      to the Agents, are complete and accurate in all material respects for the
      period since January 1, 2004.

	9. 	
      Covenants of the Corporation

	 	 	 	 
		(a) 	
      Consents and Approvals: Immediately following the
      acceptance by the Corporation hereof, the Corporation covenants and agrees
      with the Agents and the Purchasers that the Corporation will:

	 	 	 	 
			(i) 	
      obtain, to the extent not already obtained, the necessary
      regulatory consents from the Securities Commissions of the Offering
      Jurisdictions for the Offering on such terms as are mutually acceptable to
      the Agents and the Corporation, acting
reasonably;

	 	(ii) 	
      use its commercially reasonable best efforts to obtain a
      receipt for the Final Prospectus within 180 days of Closing
Date;

	 	 	 
	 	(iii) 	
      use its commercially reasonable best efforts to file the
      Registration Statement and use its best efforts to have such Registration
      Statement declared effective by the SEC by the Qualification Deadline to
      register the resale of the Special Warrant Shares, the Warrant Shares and
      the Compensation Shares;

	 	 	 
	 	(iv) 	
      not take any action which would be reasonably expected to
      result in the delisting or suspension of its Common Shares on the
      over-the-counter bulletin board system or from any other securities
      exchange, market or trading or quotation facility on which its Common
      Shares become listed or quoted (including the Toronto Stock Exchange or
      the TSX Venture Exchange) and the Corporation shall comply, in all
      material respects, with the rules and regulations thereof;

	 	 	 
	 	(v) 	
      if the Corporation does not satisfy the obligations
      thereof set out in subsections 9(a)(ii) and 9(a)(iii) hereof, and either
      the Final Receipt is not obtained or the Registration Statement is not
      declared effective on or before the Qualification Deadline, pay to the
      Purchaser a liquidity incentive (the “Liquidity Incentive”) equal to 1% of
      the aggregate Purchase Price paid by the Purchaser for the Special
      Warrants purchased by the Purchaser multiplied by the number of months
      (pro- rated for partial months) commencing on the Qualification Deadline
      and expiring on the later of (i) the Qualification Date, and (ii) the date
      on which the Registration Statement is declared effective by the
    SEC.

	 	 	 
	 		
      Notwithstanding anything to the contrary contained herein
      (i) the total Liquidity Incentive payable to a Purchaser shall not exceed:
      (a) in any given month, 1% of the aggregate Purchase Price paid by the
      Purchaser for the Purchased Securities; or (b) an aggregate amount equal
      to 12% of the aggregate Purchase Price paid by the Purchaser for the
      Special Warrants; the Liquidity Incentive shall be payable at the end of
      each month, and shall be subject to “gross up” to compensate for the
      impact of withholding taxes, if applicable, and (ii) to the extent that
      the registration by the Corporation of any or all of the Registrable
      Securities pursuant to the Registration Statement is prohibited (in this
      section, the “Non-Registered Securities”) as a result of rules,
      regulations, positions or releases issued or actions taken by the SEC
      pursuant to its authority with respect to Rule 415 under the 1933 Act and
      the Corporation has registered at such time the maximum number of
      Registrable Securities permissible upon consultation with the SEC and in
      accordance with the terms of the Registration Rights Agreement, then the
      Liquidity Incentive described herein shall not be applicable to such Non-
      Registered Securities. The above-mentioned “gross up” amount, which may
      become payable to the Purchaser pursuant to this subsection 9(a)(v), shall
      be returned to the Corporation to the extent of any tax credit or other
      form of refund or credit received by or credited to the Purchaser
      subsequent to the date of any such payment in connection with the
      Liquidity Incentive, provided that such tax credit or refund was directly
      connected to the payment representing such “gross up”; and

	 	 	 
	 	(vi) 	
      make all necessary filings to obtain all other necessary
      regulatory and other consents and approvals required in connection with
      the transactions contemplated by this
Agreement.

	 	(b) 	
      General: The Corporation hereby covenants and
      agrees with the Agents and the Purchasers that the Corporation
  will:

	 	 	 	 
	 		(i) 	
      fulfill all legal requirements to permit the creation,
      issue, offering and sale of the Offered Securities, the creation and issue
      of the Warrants and Compensation Options and the issue of the Warrant
      Shares and the Compensation Shares as contemplated in this Agreement
      including, without limitation, compliance with the Securities Laws of the
      Offering Jurisdictions to enable the Offered Securities to be offered for
      sale and sold to the Purchasers without the necessity of filing a
      prospectus or registration statement in the Offering
  Jurisdictions;

	 	 	 	 
	 		(ii) 	
      deliver to the Agents a copy of all press releases made
      and material change reports and other documents filed with any regulatory
      authority forthwith upon such press release being made or material change
      report or other document being filed until 30 days after the Closing
      Date;

	 	 	 	 
	 		(iii) 	
      prior to the filing of the Preliminary Prospectus, cause
      to be delivered to the Agents a legal opinion, in a form reasonably
      acceptable to the Agents, of independent counsel retained by the
      Corporation with respect to title to the fee simple lands and patented
      mineral claims forming part of the Corporation’s Johnson Camp Mine
      property located in the State of Arizona;

	 	 	 	 
	 		(iv) 	
      execute and file with the Securities Commission all
      forms, notices and certificates required to be filed pursuant to the
      Securities Laws in the time required by the applicable Securities Laws,
      including, not later than 15 days after the Closing Date, five copies of a
      notice on Form D under the 1933 Act (one of which will be manually signed
      by a person duly authorized by the Corporation); to otherwise comply with
      the requirements of Rule 503 under the 1933 Act; and to furnish promptly
      to the Agents evidence of each such required timely filing (including a
      copy thereof);

	 	 	 	 
	 		(v) 	
      not be or become, at any time prior to the expiration of
      five years after the Closing Time, an open-end investment company, unit
      investment trust, closed- end investment company or face-amount
      certificate company that is or is required to be registered under Section
      8 of the Investment Company Act;

	 	 	 	 
	 		(vi) 	
      comply with the 1933 Act so as to permit the completion
      of the distribution of the Special Warrants, Special Warrant Shares,
      Warrants and Warrant Shares contemplated hereby. At any time when the
      Corporation is not subject to Section 13 or 15(d) of the 1934 Act, for the
      benefit of holders from time to time of Special Warrants, Special Warrant
      Shares, Warrants and Warrant Shares, to furnish at its expense, upon
      request, to holders of such securities and prospective purchasers of any
      such securities information satisfying the requirements of subsection
      (d)(4)(i) of Rule 144A;

	 	 	 	 
	 		(vii) 	
      furnish to the holders of the Special Warrant Shares and
      Warrants, as soon as practicable after the end of each fiscal year an
      annual report (including a balance sheet and statements of income,
      stockholders’ equity and cash flows of the Corporation and its
      consolidated subsidiaries certified by independent public accountants),
      which requirement will be satisfied by making publicly available the
      Corporation’s Annual Report on Form 10-KSB or 10-K (or any
    applicable

	 		 successor thereto under the 1934 Act), and, as soon
        as practicable after the end of each of the first three quarters of each
        fiscal year (beginning with the fiscal quarter ending June 30, 2007),
        consolidated summary financial information of the Corporation and its
        subsidiaries for such quarter in reasonable detail, which requirement
        will be satisfied by making publicly available the Corporation’s
        Quarterly Report on Form 10-QSB or 10-Q (or any applicable successor thereto
        under the 1934 Act);

	 	 	 
	 	(viii) 	 ensure that the Registration Statement and the Prospectus
        and any amendments or supplements thereto will not and the Public Record
        do not, as of their respective dates, contain an untrue statement of a
        material fact or omit to state a material fact necessary in order to make
        the statements therein, in the light of the circumstances under which
        they were made, not misleading; provided, however, that this representation
        and warranty shall not apply to any statements or omissions made in reliance
        upon and in conformity with information furnished in writing to the Corporation
        by the Agents or their counsel;

	 	 	 
	 	(ix) 	 timely file such reports pursuant to the Exchange Act
        as are necessary in order to make generally available to its securityholders
        as soon as practicable an earnings statement for the purposes of, and
        to provide the Agents the benefits contemplated by, the last paragraph
        of Section 11(a) of the 1933 Act;

	 	 	 
	 	(x) 	 use its commercially reasonable best efforts to list
        the Common Shares on the Toronto Stock Exchange within 10 days after the
        Final receipt is obtained to the Final Prospectus and the Registration
        Statement is declared effective; and

	 	 	 
	 	(xi) 	 forthwith after the Closing Date, file such documents
        as may be required under the Securities Laws of the Offering Jurisdictions
        relating to the offering of the Offered Securities which, without limiting
        the generality of the foregoing, shall include a Form 45-106F1 as prescribed
        under National Instrument 45-106, Prospectus and Registration Exemptions
        of the Canadian Securities Administrators.

	 	(c) 	
      Issues of Further Securities:

	 	 	 	 
	 		(i) 	
      Subject to subsection 9(c)(ii), the Corporation agrees
      not to sell directly or indirectly any Shares, or securities convertible
      or exchangeable into Common Shares of the Corporation during the
      distribution of the Offering or for a period of 90 days subsequent to the
      Closing Date, without the prior written consent of the Lead Agent, which
      consent shall not be unreasonably withheld or delayed.

	 	 	 	 
	 		(ii) 	
      The Agents acknowledge and consent to issuances of the
      Corporation’s securities: (A) under existing director or employee stock
      option, bonus or purchase plans, or under such director or employee stock
      options or bonuses granted subsequently in accordance with regulatory
      approval; (B) as a result of the exercise of currently outstanding share
      purchase warrants, convertible securities, DSU’s or options; (C) the
      existing contractual obligations disclosed in Schedule 8(f) of the
      Disclosure Schedules; and (D) to pay and settle accrued and unpaid
      expenses of up to $653,833, as of March 31, 2007, such accrued expenses
      consisting primarily of consulting fees and accrued salaries and bonus for
      Ronald Hirsch, the Corporation’s Chairman and formerly it Chief Executive
      Officer,

	 		
      Erland Anderson, the Corporation’s Executive Vice
      President and Chief Operating Officer.

	 	 	 
	 	(iii) 	
      The Corporation may issue securities in connection with a
      bona fide acquisition by the Corporation (other than a direct or
      indirect acquisition, whether by way of one or more transactions, of an
      entity all or substantially all of the assets of which are cash,
      marketable securities or financial in nature or an acquisition that is
      structured primarily to defeat the intent of this provision), with the
      written agreement of Blackmount, such agreement not to be unreasonably
      withheld.

	 	(d) 	
      Restrictions on Registration: The Corporation
      hereby agrees that, until such time that the Registration Statement
      covering the Registrable Securities has been declared effective by the
      SEC, it shall not file another registration statement under the 1933 Act
      without the written consent of the Agents, other than: (i) a registration
      statement on Form S-4 under the 1933 Act relating to equity securities to
      be issued solely in connection with any acquisition of any entity or
      business, or (ii) one or more registration statements on Form S-8 under
      the 1933 Act with respect to new or existing “employee benefit plans” of
      the Corporation (as such term is defined in Rule 405 under the 1933
      Act).

	 	 	 
	 	(e) 	
      Use of Proceeds: The Corporation will use the net
      proceeds of the Offered Securities sold under the Offering to repay debt
      (including related party debt of approximately US$2,950,000), for general
      corporate purposes, and together with proceeds from an expected project
      financing loan, to develop the Corporation's Johnson Camp SX-EW copper
      project.

	10. 	
      Certain Representations, Warranties, Covenants and
      Acknowledgements of the Agents

	 	 
		
      The Agents hereby represent, warrant and covenant to the
      Corporation, and acknowledge that the Corporation is relying upon such
      representations and warranties, that:

	 	(i) 	
      in respect of the offer and sale of the Special Warrants,
      the Agents will comply with all Securities Laws of the jurisdictions in
      which it offers Special Warrants;

	 	 	 
	 	(ii) 	
      the Agents and their representatives have not engaged in
      or authorized, and will not engage in or authorize, any form of General
      Solicitation or General Advertising in connection with or in respect of
      the Special Warrants;

	 	 	 
	 	(iii) 	
      each of the Agents is an “accredited investor” as such
      term is defined in National Instrument 45-106 - Prospectus and
      Registration Exemptions; and

	 	 	 
	 	(iv) 	
      neither the Agents, their affiliates nor any persons
      acting on their behalf, has engaged or will engage in any hedging
      transaction with respect to any of the Special Warrant Shares or Warrants
      during the Distribution Compliance Period except in compliance with the
      1933 Act. For the purposes of this provision, “Distribution Compliance
      Period” means a one year period that begins on the Closing Date, except
      that all offers and sales by the Agents, a dealer, or other person that
      participates in the distribution of the Special Warrants pursuant to a
      contractual arrangement, of an unsold allotment or subscription of Special
      Warrants shall be deemed to be made during the Distribution Compliance
      Period.

	11. 	
      Prospectus and Registration Statement
      Matters

	 	(i) 	
      Prospectuses or Other Qualifications: The
      Corporation agrees that it will prepare and use its commercially
      reasonable best efforts to: (i) file the Preliminary Prospectus (in
      respect of which the Agents and the Agents' counsel shall have an
      opportunity to participate and satisfy their obligations under the
      Securities Laws in the Qualifying Jurisdictions) qualifying the issue and
      distribution of the Subject Shares in each of the Qualifying
      Jurisdictions; (ii) resolve all comments received or deficiencies raised
      by the Securities Commissions expeditiously; and (iii) file the Final
      Prospectus and obtain the Final Receipt (in respect of which the Agents
      and the Agents' counsel shall have an opportunity to participate and
      satisfy their obligations under the Securities Laws of the Qualifying
      Jurisdictions) in each Qualifying Jurisdiction qualifying the issue and
      distribution of the Subject Shares as soon as practicable, acting
      reasonably after such regulatory comments and deficiencies have been
      resolved so that the Underlying Securities are not subject to a hold
      period or restricted period under the Securities Laws of the Qualifying
      Jurisdictions (other than in respect of resales by control
  persons).

	 	 	 
	 	(ii) 	
      The Corporation will file the Registration Statement and
      use its commercially reasonable best efforts to have such Registration
      Statement declared effective by the SEC by the Qualification Date to
      register the resale of the Special Warrant Shares, the Warrant Shares and
      the Compensation Shares;

	 	 	 
	 	(iii) 	
      The Preliminary Prospectus, the Final Prospectus, and any
      Supplementary Material will contain the disclosure required by all
      requirements of the Securities Laws of the applicable Qualifying
      Jurisdiction;

	 	 	 
	 	(iv) 	
      The Registration Statement (and each amendment or
      supplement thereto), will contain the disclosure required by all
      applicable requirements of the Securities Laws of the United States;
      and

	 	 	 
	 	(v) 	
      The Corporation recognizes that it is fundamental to the
      Purchasers that the Final Prospectus be filed in Canada and a receipt is
      obtained for such Final Prospectus, the Special Warrant Shares and Warrant
      Shares be registered for resale in the United States under the
      Registration Statement so that the Special Warrant Shares and Warrant
      Shares will be tradable in such Offering Jurisdiction without the
      necessity of the holder thereof filing a prospectus or effecting the trade
      in a manner which falls within one of the various private placement
      exemptions or exemptions from registration under applicable Securities
      Laws or subject to any statutory or regulatory hold periods or trade
      restrictions in such Offering Jurisdiction (provided such trade is not a
      “control distribution” as defined by the applicable Securities Laws, or by
      an “affiliate” as defined in Rule 144). The Corporation acknowledges that
      it is for this reason that the Corporation has agreed to use its best
      efforts to ensure that the Preliminary Prospectus and Final Prospectus are
      to be filed with the Securities Commissions in at least one jurisdiction
      listed in Appendix B of National Instrument 45-102 – Resale of
      Securities and receipts are to be obtained therefor and the
      Registration Statement is to be filed with and declared effective by the
      SEC in the United States within the time periods contemplated by this
      Agreement and the Registration Rights
Agreement.

	 	(vi) 	
      The Agents shall cooperate in the filing of the
      Preliminary Prospectus, the Final Prospectus and any Supplementary
      Material, by signing the relevant certificates required to be signed by
      them provided that they are satisfied with their due diligence
      investigation of the Corporation and its Subsidiary and as to disclosure
      requirements of applicable Securities Laws having been fulfilled by the
      Corporation. Subject to the foregoing, if the Agents do not execute the
      certificates pertaining to the Preliminary Prospectus, the Final
      Prospectus or any Supplementary Material, other than as a result or
      consequence of the default by or failure of the Corporation to comply in
      all material respects with its covenants and agreements contained herein
      or the material inaccuracy of any representation or warranty of the
      Corporation herein, the Corporation shall thereafter be relieved of its
      filing and delivery obligations under this Agreement in respect of the
      Preliminary Prospectus, the Final Prospectus and any Supplementary
      Material.

	12. 	
      Delivery of Prospectuses

	 	 
		
      The Corporation shall deliver or cause to be delivered to
      the Agents and the Agents’ counsel the documents set out below at the
      respective times indicated:

	 	(i) 	
      contemporaneously, as nearly as practicable, with the
      filing (i) with the British Columbia Securities Commission of the
      Preliminary Prospectus or the Final Prospectus, copies of the Preliminary
      Prospectus or the Final Prospectus signed as required by applicable
      Securities Laws of the Qualifying Jurisdictions, and (ii) with the SEC of
      the Registration Statement copies of the Registration Statement signed as
      required by applicable Securities Laws of the United States; and

	 	 	 
	 	(ii) 	
      as soon as they are available, copies of any
      supplementary material required to be filed under any of the Securities
      Laws in Canada and the United States, signed as required by applicable
      Securities Laws and including copies of any documents or information
      incorporated by reference therein which have not been previously delivered
      to the Agents.

	13. 	
      Termination

	 	 	 	 
		(a) 	
      Right of Termination: The Agents shall be
      entitled, at the sole option thereof, to terminate and cancel, without any
      liability on the part of the Agents, all of the obligations thereof under
      this Agreement and the obligations of any Person who has executed a
      Subscription Agreement, by notice in writing to that effect delivered to
      the Corporation prior to or at the Closing Time if:

	 	 	 	 
			(i) 	
      the Agents are not satisfied in the sole discretion
      thereof with the results of the due diligence review and investigation of
      the Corporation conducted by the Agents;

	 	 	 	 
			(ii) 	
      there is in the sole opinion of the Agents a material
      change or change in a material fact or new material fact or an undisclosed
      material fact or material change which might be expected to have an
      adverse effect on the condition (financial or otherwise), capital,
      property, assets, operations, business, affairs, profitability or
      prospects of the Corporation or on the market price or value of
  the

	 		
      Common Shares or any other securities of the Corporation
      or on the marketability of the Offered Securities;

	 	 	 
	 	(iii) 	
      there should develop, occur or come into effect any
      occurrence of national or international consequence, or any action, law or
      regulation, inquiry or other event, action or occurrence of any nature
      whatsoever which, in the sole opinion of the Agents, seriously affects, or
      could seriously affect, the financial markets, the condition (financial or
      otherwise) of capital, property, assets, operations, business, affairs,
      profitability or prospects of the Corporation or the market price or value
      of the Common Shares or any other securities of the Corporation or the
      marketability of the Offered Securities;

	 	 	 
	 	(iv) 	
      the state of the financial markets is such that in the
      sole opinion of the Agents it would be unprofitable to offer or continue
      to offer for sale the Offered Securities;

	 	 	 
	 	(v) 	
      any order or ruling is issued, or any inquiry, action,
      suit, proceeding or investigation (whether formal or informal) is
      instituted or announced or threatened in relation to the Corporation or
      any of the directors, officers or principal shareholders of the
      Corporation (other than one based solely upon the activities or alleged
      activities of the Agents) or any law or regulation is promulgated or
      changed which prevents or restricts trading in or the distribution of the
      Offered Securities, the Common Shares or any other securities of the
      Corporation (other than one based solely upon the activities or alleged
      activities of the Agents) or any law or regulation is promulgated or
      changed which prevents or restricts trading in or the distribution of the
      Offered Securities, the Common Shares or any other securities of the
      Corporation (other than one based solely upon the activities or alleged
      activities of the Agents) or any law or regulation is promulgated or
      changed which prevents or restricts trading in or the distribution of the
      Offered Securities, the Common Shares or any other securities of the
      Corporation;

	 	 	 
	 	(vi) 	
      any order to cease or suspend trading in any securities
      of the Corporation is made, threatened or announced by any securities
      regulatory authority; or

	 	 	 
	 	(vii) 	
      the Corporation is in breach of any material term,
      condition, covenant or agreement contained in this Agreement or in any
      Subscription Agreement or any representation or warranty given by the
      Corporation in this Agreement or in any Subscription Agreement is or
      becomes untrue, false or misleading.

	 	(b) 	
      Rights on Termination: Any termination by the
      Agents pursuant to subsection 13(a) hereof shall be effected by notice in
      writing delivered by the Agents to the Corporation at the address thereof
      as set out in section 17 hereof. The right of the Agents to so terminate
      the obligations thereof under this Agreement is in addition to such other
      remedies as the Agents may have in respect of any default, act or failure
      to act of the Corporation in respect of any of the matters contemplated by
      this Agreement. In the event of a termination by the Agents pursuant to
      subsection 13(a) hereof there shall be no further liability on the part of
      the Agents to the Corporation or of the Corporation to the Agents except
      any liability which may have arisen or may thereafter arise under either
      section 14 or 15 hereof.

	
14. 		
Indemnity and Contribution

	
	 	 	 	 
		
(a) 		
Indemnity: The Corporation hereby covenants and agrees to protect, indemnify and save harmless the Agents and each investment dealer which is a member of any agency group formed by the Agents in connection with the
Offering, the affiliates of each of them and the respective directors, officers, employees, shareholders, partners, advisors and agents of each of the Agents and each investment dealer which is a member of any agency group formed by the Agents in
connection with the Offering and of each of the associates and affiliates of each of them (in this section 14 each an “Indemnified Person” and collectively the “Indemnified Persons”) from and against all losses (other than a loss
of profits), claims, damages, payments, liabilities, costs, fines, penalties and expenses (including the amount paid in reasonable settlement of any claim, action, suit or proceeding and the reasonable fees, disbursements and taxes of counsel
incurred obtaining advice in respect of, or in defending or settling, any such claim, action, suit or proceeding), joint or several, of whatsoever nature or kind to which an Indemnified Person may become subject or otherwise involved in any capacity
under statute or common law or otherwise caused or reasonably incurred by reason of or in any way arising, directly or indirectly, from, by virtue of, or related to, enforcing the provisions of this Agreement or any Subscription Agreement, or:

	
	 	 	 	 
			
(i) 		
the Agents having acted as the agents of the Corporation in respect of the Offering (other than by reason of the negligence, willful misconduct or bad faith of the Agents);

	
	 	 	 	 
			
(ii) 		
any statement or information contained in the Information which at the time and in light of the circumstances under which it was made containing or being alleged to contain a misrepresentation or being or being alleged to be
untrue, false or misleading;

	
	 	 	 	 
			
(iii) 		
the omission or alleged omission to state in the Information any material fact required to be stated therein or necessary to make any statement therein not misleading in light of the circumstances under which it was made;

	
	 	 	 	 
			
(iv) 		
any order made or inquiry, investigation or proceeding commenced or threatened by any officer or official of any securities commission or authority or any other competent authority, not based upon the activities or the alleged
activities of any of the Agents in connection with the Offering;

	
	 	 	 	 
			
(v) 		
the non-compliance or alleged non-compliance by the Corporation with any of the Securities Laws of the Offering Jurisdictions or any other applicable law in connection with the transactions contemplated herein;

	
	 	 	 	 
			
(vi) 		
any negligence or willful misconduct by the Corporation relating to or connected with the sale by the Corporation of the Offered Securities;

	
	 	 	 	 
			
(vii) 		
any misrepresentation or alleged misrepresentation (except any made by the Agents and for which the Agents did not rely on any information provided by the Corporation or anyone acting on its behalf) relating to the Offering or the
Offered Securities, whether oral or written and whether made during and in connection with the Offering or in respect of the trading of the Offered Securities in the secondary market after the completion of the Offering, where such

	

	 		
      misrepresentation or alleged misrepresentation may give
      or gives rise to any other liability under any statute in any jurisdiction
      which is in force on the date of this Agreement or which comes into force
      after that date;

	 	 	 
	 	(viii) 	
      any failure or alleged failure to make timely disclosure
      of material change by the Corporation, whether such failure or alleged
      failure occurs during the Offering or after the completion of the
      Offering, where such failure relates to the Offering or the Offered
      Securities and may give or gives rise to any liability under any statute
      in any jurisdiction which is in force on the date of this Agreement or
      which comes into force after that date; or

	 	 	 
	 	(ix) 	
      the breach of, or default under, any term, condition,
      covenant or agreement of the Corporation made or contained herein or in
      any other document of the Corporation delivered pursuant hereto or made by
      the Corporation in connection with the sale of the Offered Securities or
      any representation or warranty of the Corporation made or contained herein
      or in any other document of the Corporation delivered pursuant hereto or
      in connection with the sale of the Offered Securities being or being
      alleged to be untrue, false or misleading.

	 		
      If any matter or thing contemplated by this section 14
      shall be asserted against any Indemnified Person in respect of which
      indemnification is or might reasonably be considered to be provided
      hereunder, such Indemnified Person shall notify the Corporation as soon as
      possible of the nature of such claim and the Corporation shall be
      entitled, but not required, to assume the defence of any action, suit or
      proceeding brought to enforce such claim; provided, however, that the
      defence shall be through legal counsel reasonably acceptable to the
      Indemnified Person and that no settlement may be made by the Corporation
      or the Indemnified Person without the prior written consent of the other
      of them and the Corporation shall not be liable for any settlement of any
      such claim unless it has consented in writing to such
settlement.

	 	 	 	 
	 	(b) 	
      Limitation: In the event and to the extent that a
      court of competent jurisdiction in a final judgment (in a proceeding to
      which an Indemnified Person is a party) that has become non-appealable
      determines that an Indemnified Party was grossly negligent or guilty of
      willful misconduct in connection with a claim referred to in 14(a), above,
      in respect of which the Corporation has advanced funds to the Indemnified
      Person pursuant to this indemnity, such Indemnified Person will reimburse
      such funds to the Corporation and thereafter this indemnity will not apply
      to such Indemnified Party in respect of such claim. The Corporation agrees
      to waive any right the Corporation might have of first requiring the
      Indemnified Person to proceed against or enforce any other right, power,
      remedy or security or claim payment from any other person before claiming
      under this indemnity.

	 	 	 	 
	 	(c) 	
      Counsel: In any claim referred to in this section
      14, the Indemnified Person shall have the right to retain separate legal
      counsel to act on behalf of such Indemnified Person provided that the fees
      and disbursements of such separate legal counsel shall be paid by the
      Indemnified Person unless:

	 	 	 	 
	 		(i) 	
      the Corporation fails to assume the defence of such claim
      on behalf of the Indemnified Person within ten days of receiving notice of
      such claim;

	 	(ii) 	
      the Corporation and the Indemnified Person shall have
      mutually agreed, in writing, to the retention of such separate legal
      counsel; or

	 	 	 
	 	(iii) 	
      the named parties to such claim (including any added,
      third or impleaded parties) include both the Corporation and the
      Indemnified Person and the Indemnified Person has been advised by legal
      counsel that representation of both the Corporation and the Indemnified
      Person by the same legal counsel would be inappropriate due to actual or
      potential differing interests between them;

in which event or events the fees and
disbursements of such separate legal counsel shall be paid by the Corporation,
subject as hereinafter provided. Where more than one Indemnified Person is
entitled to retain separate counsel in the circumstances described in this
subsection 14(c), all Indemnified Persons shall be represented by one separate
legal counsel and the fees and disbursements of only one separate legal counsel
for all Indemnified Persons shall be paid by the Corporation, unless: 

	 	(i) 	
      the Corporation and the Indemnified Persons have mutually
      agreed to the retention of more than one legal counsel for the Indemnified
      Persons; or

	 	 	 
	 	(ii) 	
      the Indemnified Persons have or any of them has been
      advised in writing by legal counsel that representation of all of the
      Indemnified Persons by the same legal counsel would be inappropriate due
      to actual or potential differing interests between
them.

	 	(d) 	
      Waiver of Right: The Corporation hereby waives its
      right to recover contribution from the Agents and the other Indemnified
      Persons with respect to any liability of the Corporation by reason of or
      arising out of the indemnity provided by the Corporation in this section
      14; provided, however, that such waiver shall not apply in respect of an
      Agent for any liability directly caused or incurred by reason or arising
      out of any information or statements relating solely to, and provided by,
      such Agent or any failure by such Agent in connection with the Offering to
      provide to Purchasers any document which the Corporation is required to
      provide to the Purchasers and which the Corporation has provided or made
      available to the Agents to forward to the Purchasers.

	 	 	 	 
	 	(e) 	
      Contribution:

	 	 	 	 
	 		(i) 	
      In order to provide for just and equitable contribution
      in circumstances in which the indemnity contained in this section 14 is,
      for any reason of policy or otherwise, held to be unavailable to or
      unenforceable by, in whole or in part, an Indemnified Person other than in
      accordance with the provisions of this section 14, the Corporation shall
      contribute to the aggregate losses (other than a loss of profit), claims,
      damages, payments, liabilities, costs, fines, penalties and expenses
      (including the amount paid in settlement of any claim, action, suit or
      proceeding and the fees and expenses of counsel on a solicitor and his own
      client basis incurred obtaining advice in respect of, or in defending or
      settling, any such claim, action, suit or proceeding) of the nature
      contemplated by such indemnity incurred or paid by the Indemnified Person
      in such proportion as is appropriate to reflect not only the relative
      benefits received by the Corporation on the one hand and the Indemnified
      Person on the other hand in connection with the Offering but also the
      relative fault of the Corporation on the one hand and the Indemnified
      Person on the other hand in connection with the matters, things and
      actions which

	 		
      resulted in such losses, claims, damages, payments,
      liabilities, costs, fines, penalties or expenses as well as any other
      relevant equitable considerations or, if such allocation is not permitted
      by applicable law, in such proportion so that the Indemnified Person shall
      be responsible for the proportion represented by the percentage that the
      Agent’s fee per Offered Security bears to the Purchase Price and the
      Corporation shall be responsible for the balance, whether or not they are
      a party to the same or separate claims; provided, however, that no Person
      who has engaged in any dishonesty, fraud, fraudulent misrepresentation,
      negligence or wilful default shall be entitled to contribution from any
      Person who has not engaged in any dishonesty, fraud, fraudulent
      misrepresentation, negligence or wilful default and further provided that
      in no event shall any Agent be responsible for any amount in excess of the
      cash fee actually received from the Corporation under this Agreement and
      retained by such Agent. For purposes of this subsection 14(e), relative
      fault shall be determined by reference to, among other things, whether any
      untrue or alleged untrue statement of a material fact or any omission or
      alleged omission to state a material fact relates to information supplied
      by the Corporation on the one hand or the Agents on the other hand and the
      relevant intent, knowledge, access to information and opportunity to
      correct or prevent any such untrue statement or omission of the
      Corporation and the Indemnified Person.

	 	 	 	 
	 	(ii) 	
      In the event that the Corporation is held to be entitled
      to contribution from the Agents under the provisions of any statute or
      law, the Corporation shall be limited to such contribution in an amount
      not exceeding the lesser of:

	 	 	 	 
	 		A. 	
      the portion of the amount of the loss or liability giving
      rise to such contribution for which the particular Agent is responsible as
      determined in accordance with subsection 14(e)(i) above; and

	 	 	 	 
	 		B. 	
      the amount of the cash fee actually received from the
      Corporation under this Agreement and retained by such Agent.

	 	 	 	 
	 	(iii) 	
      For purposes of this subsection 14(e), each party hereto
      shall give prompt notice to the other parties hereto of any claim, action,
      suit or proceeding threatened or commenced in respect of which a claim for
      contribution may be made under this subsection
14(e).

	 	(f) 	
      Held in Trust: To the extent that the indemnity
      contained in subsection 14(a) hereof is given in favour of a Person who is
      not a party to this Agreement, the Corporation hereby constitutes the Lead
      Agent as trustee for such Person for such indemnity and the covenants
      given by Corporation to such Person in this Agreement. The Lead Agent
      hereby accepts such trust and hold such indemnity and covenants for the
      benefit of such Persons. The benefit of such indemnity and covenants shall
      be held by the Lead Agent in trust for the Persons in favour of whom such
      indemnities and covenants are given and may be enforced directly by such
      Persons.

	15. 	
      Expenses

	 	 
		
      Whether or not the purchase and sale of the Offered
      Securities shall be completed as contemplated by this Agreement, all
      expenses of or incidental to the issue, sale and delivery of the Offered
      Securities and of or incidental to all matters in connection with the
      transaction herein

		
      set out shall be borne by the Corporation including,
      without limitation, the reasonable fees and disbursements of legal counsel
      for the Agents, to a maximum of Cdn$150,000.

	 	 	 
	16. 	
      Conditions

	 	 	 
		
      All of the terms and conditions contained in this
      Agreement to be satisfied by the Corporation prior to the Closing Time
      shall be construed as conditions and any breach or failure by the
      Corporation to comply with any of such terms and conditions shall entitle
      the Agents to terminate the obligations thereof to complete the Closing by
      written notice to that effect given by the Lead Agent to the Corporation
      prior to the Closing Time. It is understood and agreed that the Agents may
      waive in whole or in part, or extend the time for compliance with, any of
      such terms and conditions without prejudice to the rights thereof in
      respect of any other such term and condition or any other or subsequent
      breach or non-compliance; provided that to be binding on the Agents any
      such waiver or extension must be in writing and signed by the Agents. If
      the Agents shall elect to terminate the obligations thereof to complete
      the Closing as aforesaid, whether the reason for such termination is
      within or beyond the control of the Corporation, the liability of the
      Corporation hereunder shall be limited to the indemnity referred to in
      section 14 hereof, the right to contribution referred to in section 14
      hereof and the payment of expenses referred to in section 15
  hereof.

	 	 	 
	17. 	
      Notices

	 	 	 
		
      Any notice or other communication required or permitted
      to be given hereunder shall be in writing and shall be personally
      delivered or sent by telecopier on a Business Day to the following
      addresses:

	 	 	 
		
      (a) 
	in the case of the Corporation:
	 	 	 
			
      Nord Resources Corporation 
Suite 203 
1 West
      Wetmore Road 
Tucson, AZ

			
      85705

	 	 	 
			
      Attention:         
      John Perry
      
Telecopier:        520-292-0268

	 	 	 
			
      with a copy to:

	 	 	 
			
      Lang Michener LLP 
1500 Royal Centre 
P. O. Box
      11117 
1055 West Georgia Street 
Vancouver, British
  Columbia

	 		
      V6E 4N7

	 	 	 
	 		
      Attention:         
      Stephen Wortley
      
Telecopier:        
      604-893-2378

	 	 	 
	 	(b) 	
      in the case of the Agents:

	 	 	 
	 		
      Blackmont Capital Inc. 
Suite 900

	 		181 Bay Street
	 		
      PO Box 779 
Toronto, Ontario 
M5J 2T3

	 	 	 
	 		
      Attention:         
      Chad Williams
      
Telecopier:         416
      864-9151

	 	 	 
	 		
      - and to -

	 	 	 
	 		
      Salman Partners Inc. 
1095 West Pender Street
      
Suite 1700 
Vancouver, British Columbia 
V6E 2M6

	 	 	 
	 		
      Attention:         
      Terry Salman
      
Telecopier:        
      604-685-2471

	 	 	 
	 		
      with a copy to:

	 	 	 
	 		
      Fraser Milner Casgrain LLP 
Barristers &
      Solicitors 
Suite 3900

	 		
      King Street West

	 		1 First Canadian Place
	 		
      Toronto, Ontario M5X 1B2

	 	 	 
	 		
      Attention:         
      James Clare
      
Telecopier:        
      416-863-4592

	 	 	 
	 		
      - and to –

	 	 	 
	 		
      Dorsey & Whitney LLP 
Barristers & Solicitors
      
Suite 4310

	 		161 Bay Street
	 		
      Canada Trust Tower, BCE Place 
Toronto, Ontario
      
M5J 2S1

Attention:         
Gil Cornblum 
Telecopier:        
416-367-7371 

		
      Either the Corporation or either of the Agents may change
      its address for notice by notice given in the manner aforesaid. Any such
      notice or other communication shall be in writing, and unless delivered to
      a responsible officer of the addressee, shall be given by telecopier, and
      shall be deemed to have been given on the day on which it was delivered or
      sent by telecopier.

	 	 	 
	18. 	
      Miscellaneous

	 	 	 
		(a) 	
      Governing Law: This Agreement shall be governed by
      and be interpreted in accordance with the laws of the Province of British
      Columbia and the federal laws of Canada applicable therein. Any and all
      disputes arising under this Agency Agreement, whether as to
      interpretation, performance or otherwise, shall be subject to the
      exclusive jurisdiction of the courts of the Province of British Columbia
      and each of the parties hereto hereby irrevocably attorns to the
      jurisdiction of the courts of such province.

	 	 	 
		(b) 	
      Time of Essence: Time shall be of the essence of
      this Agreement.

	 	 	 
		(c) 	
      Survival: All representations, warranties,
      covenants and agreements of the Corporation herein contained or contained
      in any documents contemplated by, or delivered pursuant to, this Agreement
      or in connection with the purchase and sale of the Offered Securities
      shall survive the purchase and sale of the Offered Securities and the
      termination of this Agreement and shall continue in full force and effect
      for the benefit of the Agents and the Purchasers, regardless of any
      subsequent disposition of Offered Securities, the Warrant Shares or the
      Compensation Shares or any investigation by or on behalf of the Agents
      with respect thereto.

	 	 	 
		(d) 	
      Counterparts: This Agreement may be executed by
      any one or more of the parties to this Agreement by facsimile or in any
      number of counterparts, each of which when so executed shall be deemed to
      be an original and all of which when taken together shall constitute one
      and the same agreement.

	 	 	 
		(e) 	
      Entire Agreement: This Agreement constitutes the
      entire agreement between the Corporation and the Agents in connection with
      the issue and sale of the Offered Securities by the Corporation and
      supersedes all prior agreements, understandings, negotiations and
      discussions, whether oral or written, including, but not limited to, any
      engagement agreement or term sheet relating to the Offering between the
      Corporation and the Agents.

	 	 	 
		(f) 	
      Severability: If any provision of this Agreement
      is determined to be void or unenforceable in whole or in part, it shall be
      deemed not to affect or impair the validity of any other provision of this
      Agreement and such void or unenforceable provision shall be severed from
      this Agreement.

	 	 	 
		(g) 	
      Language: The parties hereto acknowledge and
      confirm that they have requested that this Agreement as well as all
      notices and other documents contemplated hereby be drawn up in the English
      language. Les parties aux présentes reconnaissent et confirment qu’elles
      ont convenu que la présente convention ainsi que tous les avis et
      documents qui s’y rattachent soient rédigés dans la langue
  anglaise.

	 	(h) 	
      Authority of Lead Agent: All actions which must or
      may be taken by the Agents in connection with this Agreement, including
      any agreement, waiver, order, notice (other than a notice pursuant to
      section 13 or section 14 hereof), direction, receipt or other action to be
      made, given or taken by the Agents hereunder may be made, given or taken
      by the Lead Agent on behalf of the Agents and the Corporation shall accept
      notification of any such actions from, and deliver the certificates
      representing the Offered Securities to, or to the order of, the Lead
      Agent. The Lead Agent acknowledges that where practicable to do so it will
      discuss any action to be taken by it hereunder with the other Agents prior
      to taking such action, provided that the failure of the Lead Agent so to
      discuss will not detract from the right of the Corporation to rely on the
      action of the Lead Agent in accordance with the provisions of this
      subsection.

Would you kindly confirm the agreement of the Corporation to
the foregoing by executing nine duplicate copies of this Agreement and
thereafter returning nine such executed copies to Blackmont Capital Inc. Yours
truly,

	BLACKMONT CAPITAL INC. 	 	SALMAN PARTNERS INC. 
	By:		 	By:	
	 	  	 	 	  
	 	  	 	 	  
	 	/s/ Chad Williams	 	 	/s/
      Terry Salman 
	 	 	 	 	 
	 	/s/ Rick Vernon	 	 	 

 

The undersigned hereby accepts and agrees to the foregoing as of
the 5th day of June, 2007. 

	 	NORD RESOURCES CORPORATION 
	 	By:	
	 	 	  
	 	 	  
	 	 	 /s/ John T. Perry 

Schedule A

Officers’ Certificate 

	TO: 	BLACKMONT CAPITAL INC. 
	AND TO: 	SALMAN PARTNERS INC. 
	AND TO: 	FRASER MILNER CASGRAIN LLP 
	AND TO: 	THE PURCHASERS OF SPECIAL
      WARRANTS OF NORD RESOURCES CORPORATION 

CERTIFICATE 

The undersigned, <>, <> of Nord Resources
Corporation (the “Corporation”), and <>, <> of the Corporation,
hereby certify, for and on behalf of the Corporation in their capacity as
officers of the Corporation and not in their personal capacity, after having
made due inquiry, that the following facts, matters and information are true and
accurate and not misleading in any material respect: 

	1. 	
      The facts, matters and information certified to herein
      are based on one or more of knowledge and information available or
      provided to us and our honest belief and all statements made in this
      certificate represent our reasonably held honest belief as to the facts,
      matters, information and belief possessed by us. We have used our best
      efforts to become informed of and about the facts, matters and information
      certified to herein and have sought the advice of counsel for the
      Corporation on those matters certified to herein which involve matters of
      laws and have relied upon such advice to the extent that those matters
      involve matters of law.

	 	 
	2. 	
      The Corporation has complied with all covenants and
      agreements contained in, and has satisfied all of the terms and conditions
      of, the Agency Agreement to be complied with and satisfied by the
      Corporation at or prior to the Closing Time.

	 	 
	3. 	
      The representations and warranties of the Corporation
      contained in the Agency Agreement are true and correct as of the Closing
      Time with the same force and effect as if made at and as of the Closing
      Time after giving effect to the transactions contemplated
  thereby.

	 	 
	4. 	
      Since March 31, 2007, except as disclosed in the
      Information, there has been no material adverse change (whether actual,
      anticipated, proposed, prospective or threatened) in the financial
      condition, assets, liabilities (contingent or otherwise), business,
      affairs, operations or prospects of the Corporation or of the Subsidiary
      or in the capital of the Corporation.

	 	 
	5. 	
      No transaction of a nature material to the Corporation or
      the Subsidiary has been entered into by the Corporation or the Subsidiary,
      except as disclosed in the Information.

	 	 
	6. 	
      There are no undisclosed contingent liabilities affecting
      the Corporation or the Subsidiary which are material to the Corporation or
      the Subsidiary.

	 	 
	7. 	
      No order, ruling or determination having the effect of
      ceasing or suspending the sale or ceasing, suspending or restricting
      trading in the Offered Securities, the Common Shares or any other
      securities of the Corporation has been issued or made by any stock
      exchange, securities commission or other regulatory authority and is
      continuing in effect and no proceedings, investigations or enquiries for
      such purpose have been instituted or are pending, or
are

		
      contemplated or threatened under any of the Securities
      Laws of the Offering Jurisdictions or by any stock exchange, securities
      commission or other regulatory authority.

	 	 
	8. 	
      There are no actions, suits, proceedings or enquiries
      pending or, to the best of their knowledge, threatened against or
      affecting the Corporation or the Subsidiary or to which any property or
      assets of the Corporation or the Subsidiary is subject, at law or in
      equity, or before or by any federal, provincial, state, municipal or other
      governmental department, commission, board, bureau, agency or
      instrumentality, domestic or foreign, which may, in any way, materially
      and adversely affect the Corporation or the Subsidiary.

	 	 
	9. 	
      No failure or default on the part of the Corporation or
      the Subsidiary exists under any law or regulation applicable to the
      Corporation or the Subsidiary or under any licence, permit, contract,
      agreement or other instrument to which the Corporation or the Subsidiary
      is a party or by which the Corporation or the Subsidiary is bound, which
      may in any way materially and adversely affect the Corporation or the
      Subsidiary and the execution, delivery and performance of the Agency
      Agreement and the performance by the Corporation of its obligations
      thereunder will not result in any such default.

	 	 
	10. 	
      This certificate is being made and delivered pursuant to
      subparagraph 5(a)(ii)D of the agency agreement dated June 5, 2007 between
      the Corporation and the Agents (the “Agency Agreement”) and we acknowledge
      that the addressees hereof will be relying on this
  certificate.

Unless otherwise defined herein, all words and terms with the
initial letter or letters thereof capitalized in this certificate and not
defined herein but defined in the Agency Agreement shall have the meanings given
to such capitalized words and terms in the Agency Agreement. The undersigned
acknowledge that they are familiar with the definitions given to the capitalized
words and terms in the Agency Agreement and such definitions are hereby
incorporated by reference. 

IN WITNESS WHEREOF the undersigned have executed this
certificate as of the _____ day of __________________, 2007. 

____________________________________________________
<>,
the <> of
Nord Resources Corporation 

 

____________________________________________________
<>,
the <> of 
Nord Resources Corporation 

Schedule B 

Agents’ Certificate 

	TO: 	NORD RESOURCES CORPORATION.

	AND TO: 	LANG MICHENER LLP

CERTIFICATE 

In connection with the private placement of the Special
Warrants of Nord Resources Corporation (the “Corporation”) to U.S. Persons and
to persons in the United States pursuant to the Agency Agreement dated June 5,
2007 (the “Agency Agreement”), among the Corporation, Blackmont Capital Inc.
(“Blackmont”) and Salman Partners Inc. (together with Blackmont, the “Agents”),
Blackmont Capital Corp., the Agents’ U.S. Affiliate (the “U.S. Affiliate”), and
each Agent does hereby certify that: 

	1. 	
      the Special Warrants have been offered and sold in the
      United States only by the U.S. Affiliate, which was on the dates of such
      offers and sales, and is on the date hereof, duly registered as a
      broker-dealer pursuant to Section 15(b) of the United States Securities
      Exchange Act of 1934, as amended, and under the securities laws of each
      state in which such offers and sales were made (unless exempted from the
      respective state’s broker-dealer registration requirements) and was and is
      a member in good standing with the National Association of Securities
      Dealers, Inc.;

	 	 
	2. 	
      all offers and sales of the Special Warrants in the
      United States have been effected in accordance with all applicable U.S.
      broker-dealer requirements;

	 	 
	3. 	
      all offers and sales of the Special Warrants to persons
      in the United States or to U.S. Persons were made to U.S. Institutional
      Accredited Investors by the U.S. Affiliate;

	 	 
	4. 	
      immediately prior to our transmitting a subscription
      agreement to each U.S. Placee, we had reasonable grounds to believe and
      did believe that such U.S. Placee was a U.S. Institutional Accredited
      Investor, and, on the date hereof, we continue to believe that each U.S.
      Placee is a U.S. Institutional Accredited Investor;

	 	 
	5. 	
      no form of General Solicitation or General Advertising
      was used by us, our affiliates or any person acting on our behalf,
      including advertisements, articles, notices or other communications
      published in any newspaper, magazine or similar media or broadcast over
      radio or television, or any seminar or meeting whose attendees had been
      invited by general solicitation or general advertising, in connection with
      the offer or sale of the Special Warrants to U.S. Placees;

	 	 
	6. 	
      prior to any sale of Special Warrants to U.S. Placees, we
      caused each U.S. Placee to complete, sign and deliver a subscription
      agreement in the form consented to by the Corporation and the Agents;
      and

	 	 
	7. 	
      we conducted the offering of the Special Warrants in
      accordance with the Agency Agreement.

Terms used in this certificate have the meanings given to them
in the Agency Agreement unless otherwise defined herein. 

IN WITNESS WHEREOF the undersigned have executed this
certificate as of the _____ day of __________________, 2007. 

 

	BLACKMONT CAPITAL INC. 	 	BLACKMONT CAPITAL CORP. 
	By: 		 	By:

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00128-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00128-of-00352.parquet"}]]