Document:

NovaCopper Inc.: Exhibit 10.12 - Filed by newsfilecorp.com

NOVACOPPER INC.

	 
	2012 NON-EMPLOYEE DIRECTORS DEFERRED 
	SHARE UNIT PLAN 
	 

EFFECTIVE NOVEMBER 29, 2012

NOVACOPPER INC.

2012 NON-EMPLOYEE DIRECTORS DEFERRED SHARE UNIT PLAN

	1. 	
      PURPOSE OF THE PLAN

	 	 	 
	1.1 	
      This Plan has been established by the Corporation to
      promote the interests of the Corporation by attracting and retaining
      qualified persons to serve on the Board and to promote a greater alignment
      of long term interests between such Participants and the shareholders of
      the Corporation.

	 	 	 
	2. 	
      PLAN DEFINITIONS AND INTERPRETATIONS

	 	 	 
		
      In this Plan, the following terms have the following
      meanings:

	 	 	 
		(a) 	
      “Account” means an account maintained for each
      Participant on the books of the Corporation which will be credited with
      Deferred Share Units, in accordance with the terms of the Plan.

	 	 	 
		(b) 	
      “Applicable Law” means any applicable provision of
      law, domestic or foreign, including, without limitation, applicable
      securities legislation, together with all regulations, rules, policy
      statements, rulings, notices, orders or other instruments promulgated
      thereunder and Stock Exchange Rules.

	 	 	 
		(c) 	
      “Board” means the Board of Directors of the
      Corporation.

	 	 	 
		(d) 	
      “Change of Control” means the acquisition by any
      person or by any person and a Joint Actor, whether directly or indirectly,
      of voting securities (as defined in the Securities Act (British
      Columbia)) of the Corporation, which, when added to all other voting
      securities of the Corporation at the time held by such person or by such
      person and a Joint Actor, totals for the first time not less than fifty
      percent (50%) of the outstanding voting securities of the Corporation or
      the votes attached to those securities are sufficient, if exercised, to
      elect a majority of the Board.

	 	 	 
		(e) 	
      “Committee” means the Compensation Committee of
      the Board.

	 	 	 
		(f) 	
      “Common Shares” mean Common Shares of the
      Corporation and includes any securities of the Corporation into which such
      Common Shares may be converted, reclassified, redesignated, subdivided,
      consolidated, exchanged or otherwise changed, pursuant to a Reorganization
      or otherwise.

	 	 	 
		(g) 	
      “Corporation” means NovaCopper Inc. and its
      respective successors and assigns, and any reference in the Plan to action
      by the Corporation means action by or under the authority of the Board or
      any person or committee that has been designated for the purpose by the
      Board including, without limitation, the Committee.

	 	 	 
		(h) 	
      “DSU” or “Deferred Share Unit” means a unit
      credited to a Participant by way of a bookkeeping entry in the books of
      the Corporation pursuant to this Plan, the value of which is equivalent in
      value to a Common Share.

	 	 	 
		(i) 	
      “Grant” means any Deferred Share Unit credited to
      the Account of a Participant.

	 	 	 
		(j) 	
      “Insider” has the meaning ascribed thereto under
      the Toronto Stock Exchange Company Manual.

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	 	(k) 	
      “Notice of Redemption” means written notice, on a
      prescribed form, by the Participant, or the administrator or liquidator of
      the estate of the Participant, to the Corporation of the Participant’s
      wish to redeem his or her Deferred Share Units.

	 	 	 
	 	(l) 	
      “Participant” means a director of the Corporation
      who is designated by the Committee as eligible to participate in the
      Plan.

	 	 	 
	 	(m) 	
      “Plan” means this 2012 Non-Employee Directors
      Deferred Share Unit Plan.

	 	 	 
	 	(n) 	
      “Redemption Date” means the date that a Notice of
      Redemption is received by the Corporation; provided in the case of a U.S.
      Eligible Participant, however, the Redemption Date will be made the
      earlier of (i) “separation from service” within the meaning of Section
      409A of the Code, or (ii) within 90 days of the U.S. Eligible
      Participant’s death.

	 	 	 
	 	(o) 	
      “Reorganization” means any (i) capital
      reorganization, (ii) merger, (iii) amalgamation, or (iv) arrangement or
      other scheme of reorganization.

	 	 	 
	 	(p) 	
      “Section 409A” means Section 409A of the U.S.
      Internal Revenue Code of 1986, as amended, and the Treasury
      Regulations promulgated thereunder as in effect from time to
  time.

	 	 	 
	 	(q) 	
      “Security Based Compensation Arrangement” has the
      meaning defined in the provisions of the TSX Company Manual relating to
      security based compensation arrangements.

	 	 	 
	 	(r) 	
      “Share Price” means the closing price of a Common
      Share on the Toronto Stock Exchange averaged over the five (5) consecutive
      trading days immediately preceding (a) in the case of a Grant, the last
      day of the fiscal quarter preceding the date of Grant in respect of a
      director, or (b) in the case of a redemption, the Redemption Date, as
      applicable, or in the event such shares are not traded on the Toronto
      Stock Exchange, the fair market value of such shares as determined by the
      Committee acting in good faith.

	 	 	 
	 	(s) 	
      “Termination Date” means the date of a
      Participant’s death, or retirement from, or loss of office or employment
      with the Corporation, within the meaning of paragraph 6801(d) of the
      regulations under the Income Tax Act (Canada), including the
      Participant’s resignation, retirement, removal from the Board, death or
      otherwise.

	 	 	 
	 	(t) 	
      “U.S. Eligible Participant” refers to a
      Participant who, at any time during the period from the date Deferred
      Share Units are granted to the Participant to the date such Deferred Share
      Units are redeemed by the Participant, is subject to income taxation in
      the United States on the income received for his or her services as a
      director of the Corporation and who is not otherwise exempt from U.S.
      income taxation under the relevant provisions of the U.S. Internal
      Revenue Code of 1986, as amended, or the Canada-U.S. Income Tax
      Convention, as amended from time to time.

	3. 	
      NON-EMPLOYEE DIRECTOR COMPENSATION

	 	 
	3.1 	
      Establishment of Annual Base
  Compensation

     An annual compensation amount
(the "Annual Base Compensation") payable to non-employee Directors
(hereafter "Directors") of the Corporation shall be established from
time-to-time by the Board. The amount of Annual Base Compensation will be
reported annually in the Corporation’s management information circular.

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	3.2 	
      Payment of Annual Base Compensation

	 	 	 
		(a) 	
      The Annual Base Compensation shall be payable in
      quarterly installments, with each installment payable as promptly as
      practicable following the last business day of the fiscal quarter to which
      it applies. Quarterly payments shall be pro rated if Board service
      commences or terminates during a fiscal quarter. The number of DSUs to be
      paid and the terms of the DSUs shall be determined as provided in the
      following sections of this Plan.

	 	 	 
		(b) 	
      Each Director may elect to receive in DSUs up to 50% of
      his or her Annual Base Compensation by completing and delivering a written
      election to the Corporation on or before November 15th of the
      calendar year ending immediately before the calendar year with respect to
      which the election is made. Such election will be effective with respect
      to compensation payable for fiscal quarters beginning during the calendar
      year following the date of such election. In addition, a Director may
      elect on or before [December o, 2012] to receive up
      to 50% of his or her Annual Base Compensation for the fiscal quarters
      beginning in 2013 in DSUs. Further, where an individual becomes a Director
      for the first time during a fiscal year and such individual has not
      previously participated in a plan that is required to be aggregated with
      this Plan for purposes of Section 409A, such individual may elect to
      participate in the Plan with respect to fiscal quarters of the Corporation
      commencing after the Corporation receives such individual’s written
      election, which election must be received by the Corporation no later than
      30 days after such individual’s appointment as a Director. For greater
      certainty, new Directors will not be entitled to receive DSUs pursuant to
      an election for the quarter in which they submit their first election to
      the Corporation or any previous quarter. Elections hereunder shall be
      irrevocable with respect to compensation earned during the period to which
      such election relates.

	 	 	 
		(c) 	
      All DSUs granted with respect to Annual Base Compensation
      will be credited to the Director's Account when such Annual Base
      Compensation is payable (the "Grant Date").

	 	 	 
		(d) 	
      The Director's Account will be credited with the number
      of DSUs calculated to the nearest thousandths of a DSU, determined by
      dividing the dollar amount of compensation payable in DSUs on the Grant
      Date by the Share Price. Fractional Deferred Share Units will not be
      issued and any fractional entitlements will be rounded down to the nearest
      whole number.

	 	 	 
	3.3 	
      Additional Deferred Share
Units

     In addition to DSUs granted
pursuant to Section 3.2, the Board may award such number of DSUs to a
Participant as the Board deems advisable to provide the Participant with
appropriate equity-based compensation for the services he or she renders to the
Corporation. The Board shall determine the date on which such DSUs may be
granted and the date as of which such DSUs shall be credited to a Participant’s
Account. The Corporation and a Participant who receives an award of DSUs
pursuant to this Section 3.3 shall enter into a DSU award agreement to evidence
the award and the terms applicable thereto.

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	4. 	
      ADMINISTRATION OF DSU ACCOUNTS

	 	 
	4.1 	
      Administration of Plan

     The Committee shall have the
power, where consistent with the general purpose and intent of the Plan and
subject to the specific provisions of the Plan:

	 	(a) 	
      to establish policies and to adopt rules and regulations
      for carrying out the purposes, provisions and administration of the Plan
      and to amend and rescind such rules and regulations from time to
    time;

	 	 	 
	 	(b) 	
      to interpret and construe the Plan and to determine all
      questions arising out of the Plan and any such interpretation,
      construction or determination made by the Committee shall be final,
      binding and conclusive for all purposes;

	 	 	 
	 	(c) 	
      to prescribe the form of the instruments used in
      conjunction with the Plan; and

	 	 	 
	 	(d) 	
      to determine which members of the Board are eligible to
      participate in the Plan.

	4.2 	
      Redemption of Deferred Share
  Units

	 	(a) 	
      Each Participant shall be entitled to redeem his or her
      Deferred Share Units during the period commencing on the business day
      immediately following the Termination Date and ending on the 90th
      day following the Termination Date by providing a written Notice of
      Redemption to the Corporation. In the event of death of a Participant, the
      Notice of Redemption shall be filed by the legal representative of the
      Participant. In the case of a U.S. Eligible Participant, however, the
      redemption will be deemed to be made the earlier of (i) “separation from
      service” within the meaning of Section 409A, or (ii) within 90 days of the
      U.S. Eligible Participant’s death.

	 	 	 
	 	(b) 	
      Upon redemption, the Participant shall be entitled to
      receive, and the Corporation shall issue or
provide:

	 	(i) 	
      subject to shareholder approval of this Plan and the
      limitations set forth in Section 6.2 below, a number of Common Shares
      issued from treasury equal to the number of DSUs in the Participant’s
      Account, subject to any applicable deductions and withholdings;

	 	 	 
	 	(ii) 	
      subject to and in accordance with any Applicable Law, a
      number of Common Shares purchased by an independent administrator of the
      Plan in the open market for the purposes of providing Common Shares to
      Participants under the Plan equal in number to the DSUs in the
      Participant’s Account, subject to any applicable deductions and
      withholdings;

	 	 	 
	 	(iii) 	
      the payment of a cash amount to a Participant equal to
      the number of DSUs multiplied by the Share Price, subject to any
      applicable deductions and withholdings; or

	 	 	 
	 	(iv) 	
      any combination of the foregoing,

as determined by the Corporation, in
its sole discretion.

- 5 -

	4.3 	
      Payment Notwithstanding

     Notwithstanding any other
provision of this Plan, all amounts payable to, or in respect of, a Participant
hereunder shall be paid on or before December 31 of the calendar year commencing
immediately after the Participant’s Termination Date.

	5. 	
      ALTERATION OF NUMBER OF SHARES SUBJECT TO THE
      PLAN

	 	 
	5.1 	
      Subdivisions or
Consolidations

     In the event that the Common
Shares shall be subdivided or consolidated into a different number of Common
Shares or a distribution shall be declared upon the Common Shares payable in
Common Shares, the number of DSUs then recorded in the Director’s Account shall
be adjusted by replacing such number by a number equal to the number of Common
Shares which would be held by the Director immediately after the distribution,
subdivision or consolidation, should the Director have held a number of Common
Shares equal to the number of DSUs recorded in the Director’s Account on the
record date fixed for such distribution, subdivision or consolidation.

	5.2 	
      Reorganizations

     In the event there shall be any
change, other than as specified in Section 5.1, in the number or kind of
outstanding Common Shares or of any shares or other securities into which such
Common Shares shall have been changed or for which they shall have been
exchanged, pursuant to a Reorganization or otherwise, then there shall be
substituted for each Common Share referred to in the Plan or for each share into
which such Common Share shall have been so changed or exchanged, the kind of
securities into which each outstanding Common Share shall be so changed or
exchanged and an equitable adjustment shall be made, if required, in the number
of DSUs then recorded in the Director’s Account, such adjustment, if any, to be
reasonably determined by the Committee and to be effective and binding for all
purposes.

	5.3 	
      Adjustments

     In the case of any such
substitution, change or adjustment as provided for in this Section 5, the
variation shall generally require that the number of DSUs then recorded in the
Director’s Account prior to such substitution, change or adjustment will be
proportionately and appropriately varied.

	6. 	
      RESTRICTIONS ON ISSUANCES

	 	 
	6.1 	
      Maximum Number of DSUs

     DSUs may be granted by the Corporation
in accordance with this Plan provided the aggregate number of DSUs outstanding
pursuant to the Plan from time to time shall not exceed 2% of the number of
issued and outstanding Common Shares from time to time.

	6.2 	
      Insider Participation
Limits

     The maximum number of Common Shares
issuable to Insiders pursuant to Section 4.2(b)(i) of the Plan, together with
any Common Shares issuable pursuant to any other Security Based Compensation
Arrangement, at any time, shall not exceed 10% of the total number of
outstanding Common Shares. The maximum number of Common Shares issued to
Insiders pursuant to Section 4.2(b)(i) of the Plan, together with any Common
Shares issued pursuant to any other Security Based Compensation Arrangement,
within any one year period, shall not exceed 10% of the total number of
outstanding Common Shares.

- 6 -

	7. 	
      AMENDMENT, SUSPENSION OR TERMINATION OF THE
      PLAN

	 	 
	7.1 	
      Amendment to the Plan

     Until such time as the
Corporation receives shareholder approval of the issuances from treasury
contemplated in Section 4.2(b)(i), the Plan may be amended, suspended or
terminated at any time by the Board in whole or in part. No amendment of the
Plan shall, without the consent of the Participants affected by the amendment,
or unless required by Applicable Law, adversely affect the rights accrued to
such Participants with respect to DSUs granted prior to the date of the
amendment.

     Following shareholder approval of
any issuances from treasury as contemplated in Section 4.2(b)(i), the Board may
at any time, and from time to time, and without shareholder approval, amend any
provision of the Plan, subject to any regulatory or stock exchange requirement
at the time of such amendment, including, without limitation:

	 	(b) 	
      for the purposes of making formal minor or technical
      modifications to any of the provisions of the Plan including amendments of
      a “clerical” or “housekeeping” nature;

	 	 	 
	 	(c) 	
      to correct any ambiguity, defective provision, error or
      omission in the provisions of the Plan;

	 	 	 
	 	(d) 	
      amendments to the termination provisions of Section
      7.2;

	 	 	 
	 	(e) 	
      amendments necessary or advisable because of any change
      in applicable securities laws;

	 	 	 
	 	(f) 	
      amendments to the transferability of Deferred Share Units
      provided for in Section 8.10;

	 	 	 
	 	(g) 	
      amendments to Section 4.1 relating to the administration
      of the Plan; and

	 	 	 
	 	(h) 	
      any other amendment, fundamental or otherwise, not
      requiring shareholder approval under applicable laws or the rules of the
      Toronto Stock Exchange;

provided, however, that:

	 	(i) 	
      no such amendment of the Plan may be made without the
      consent of each affected Participant in the Plan if such amendment would
      adversely affect the rights of such affected Participant(s) under the
      Plan; and

	 	 	 	 
	 	(j) 	
      shareholder approval shall be obtained in accordance with
      the requirements of the Toronto Stock Exchange for any
amendment:

	 	 	 	 
	 		(i) 	
      to Section 6.1 in order to increase the maximum number of
      Deferred Share Units which may be issued under this Plan (other than
      pursuant to Section 5);

	 	 	 	 
	 		(ii) 	
      to Section 7.1; or

	 	 	 	 
	 		(iii) 	
      to the definition of
“Participant”.

	7.2 	
      Plan Termination

     The Committee may decide to
discontinue granting awards under the Plan at any time in which case no further
Deferred Share Units shall be awarded or credited under the Plan. Any Deferred
Share Units which remain outstanding in a Participant’s Account at that time
shall continue to be dealt with according to the terms of the Plan. The Plan
shall terminate when all payments owing pursuant to Section 4.2 of the Plan have been made and all Deferred Share Units
have been cancelled in all Participants’ Accounts

- 7 -

	8. 	
      GENERAL PROVISIONS

	 	 
	8.1 	
      Withholding

     The Corporation may withhold from
any amount payable to a Participant, either under this Plan, or otherwise, such
amount as may be necessary so as to ensure that the Corporation will be able to
comply with the applicable provisions of any federal, provincial, state or local
law relating to the withholding of tax or other required deductions, including
on the amount, if any, includable in the income of a Participant. The
Corporation shall also have the right in its discretion to satisfy any such
withholding tax liability by retaining, acquiring or selling on behalf of a
Participant any Common Shares which would otherwise be issued or provided to a
Participant hereunder.

	8.2 	
      Assignability

     No right to receive payment of
DSUs and other benefits under the Plan shall be transferable or assignable by a
Participant except by will or laws of descent and distribution.

	8.3 	
      Unfunded Plan

     Unless otherwise determined by
the Committee, the Plan shall be unfunded. To the extent any Participant or his
or her estate holds any rights by virtue of a grant of Deferred Share Units
under the Plan, such rights (unless otherwise determined by the Committee) shall
be no greater than the rights of an unsecured creditor of the Corporation.

	8.4 	
      Final Determination

     Any determination or decision by
or opinion of the Committee made or held pursuant to the terms of the Plan shall
be final, conclusive and binding on all parties concerned. All rights,
entitlements and obligations of Participants under the Plan are set forth in the
terms of the Plan and cannot be modified by any other documents, statements or
communications, except by Plan amendments referred to in Section 7.1 of the
Plan.

	8.5 	
      No Right to Employment

     Participation in the Plan shall
not be construed to give any Participant a right to be retained as a Director.

	8.6 	
      No Other Benefit

     No amount will be paid to, or in
respect of, a Participant under the Plan to compensate for a downward
fluctuation in the price of Common Shares nor will any other form of benefit be
conferred upon, or in respect of, a Participant for such purpose.

	8.7 	
      No Shareholder Rights

     Under no circumstances shall
Deferred Share Units be considered Common Shares nor shall they entitle any
Participant to exercise voting rights or any other rights attaching to the
ownership of Common Shares nor shall any Participant be considered the owner of
Common Shares by virtue of the award of Deferred Share Units.

- 8 -

	8.8 	
      Reorganization of the
Corporation

     The existence of any Deferred
Share Units shall not affect in any way the right or power of the Corporation or
its shareholders to make or authorize any adjustment, recapitalization,
reorganization or other change in the Corporation’s capital structure or its
business, or any amalgamation, combination, merger or consolidation involving
the Corporation or to create or issue any bonds, debentures, shares or other
securities of the Corporation or the rights and conditions attaching thereto or
to affect the dissolution or liquidation of the Corporation or any sale or
transfer of all or any part of its assets or business, or any other corporate
act or proceeding, whether of a similar nature or otherwise.

	8.9 	
      Successors and Assigns

     The Plan shall be binding on all successors and assigns of the
Corporation.

	8.10 	
      General Restrictions and
  Assignment

     Except as required by law, the
rights of a Participant under the Plan are not capable of being anticipated,
assigned, transferred, alienated, sold, encumbered, pledged, mortgaged or
charged and are not capable of being subject to attachment or legal process for
the payment of any debts or obligations of the Participant.

	8.11 	
      Section 409A

     It is intended that the
provisions of this Plan comply with Section 409A, and all provisions of this
Plan shall be construed and interpreted in a manner consistent with the
requirements for avoiding taxes or penalties under Section 409A. Notwithstanding
anything in the Plan to the contrary, the following will apply with respect to
the rights and benefits of U.S. Eligible Participants under the Plan:

	 	(a) 	
      Except as permitted under Section 409A, any deferred
      compensation (within the meaning of Section 409A) payable to or for the
      benefit of a U.S. Eligible Participant may not be reduced by, or offset
      against, any amount owing by the U.S. Eligible Participant to the
      Corporation or any of its affiliates.

	 	 	 
	 	(b) 	
      If a U.S. Eligible Participant becomes entitled to
      receive payment in respect of any Deferred Share Units as a result of his
      or her “separation from service” (within the meaning of Section 409A), and
      the U.S Eligible Participant is a “specified employee” (within the meaning
      of Section 409A) at the time of his or her separation from service, and
      the Committee makes a good faith determination that (i) all or a portion
      of the Deferred Share Units constitute “deferred compensation” (within the
      meaning of Section 409A) and (ii) any such deferred compensation that
      would otherwise be payable during the six-month period following such
      separation from service is required to be delayed pursuant to the
      six-month delay rule set forth in Section 409A in order to avoid taxes or
      penalties under Section 409A, then payment of such “deferred compensation”
      shall not be made to the U.S Eligible Participant before the date which is
      six months after the date of his or her separation from service (and shall
      be paid in a single lump sum on the first day of the seventh month
      following the date of such separation from service) or, if earlier, the
      U.S Eligible Participant’s date of death.

	 	 	 
	 	(c) 	
      A U.S. Eligible Participant’s status as a specified
      employee shall be determined by the Corporation as required by Section
      409A on a basis consistent with the regulations under Section 409A and
      such basis for determination will be consistently applied to all plans,
      programs, contracts, agreements, etc. maintained by the Corporation that
      are subject to Section 409A.

- 9 -

	 	(d) 	
      Each U.S Eligible Participant, any beneficiary or the U.S
      Eligible Participant’s estate, as the case may be, is solely responsible
      and liable for the satisfaction of all taxes and penalties that may be
      imposed on or for the account of such U.S Eligible Participant in
      connection with this Plan (including any taxes and penalties under Section
      409A), and neither the Corporation nor any affiliate shall have any
      obligation to indemnify or otherwise hold such U.S Eligible Participant or
      beneficiary or the U.S Eligible Participant’s estate harmless from any or
      all of such taxes or penalties.

	 	 	 
	 	(f) 	
      In the event that the Committee determines that any
      amounts payable hereunder will be taxable to a Participant under Section
      409A prior to payment to such Participant of such amount, the Corporation
      may (i) adopt such amendments to the Plan and Deferred Share Units and
      appropriate policies and procedures, including amendments and policies
      with retroactive effect, that the Committee determines necessary or
      appropriate to preserve the intended tax treatment of the benefits
      provided by the Plan and Deferred Share Units hereunder and/or (ii) take
      such other actions as the Committee determines necessary or appropriate to
      avoid or limit the imposition of an additional tax under Section
    409A.

	 	 	 
	 	(g) 	
      In the event the Corporation terminates the Plan in
      accordance with Section 7, the time and manner of payment of amounts that
      are subject to 409A will be made in accordance with the rules under 409A.
      The Plan will not be terminated except as permitted under
  409A.

	8.12 	
      Forfeiture Provision

     If a Participant is subject to
tax under the Income Tax Act (Canada) and also is a U.S. Eligible
Participant with respect to DSUs, the following special rules regarding
forfeiture of such Share Units will apply if the Participant’s DSUs are subject
to Section 409A. For greater clarity, these forfeiture provisions are intended
to avoid adverse tax consequences under Section 409A and/or under paragraph
6801(d) of the regulations under the Income Tax Act (Canada), that may
result because of the different requirements as to the time of settlement of
Share Units with respect to a Participant’s “separation from service” (within
the meaning of Section 409A) (“Separation From Service”) and his
retirement or loss of office (under tax laws of Canada). If a Participant
otherwise would be entitled to payment of DSUs in any of the following
circumstances, such DSUs shall instead be immediately and irrevocably forfeited
(for greater certainty, without any compensation therefore):

	 	(a) 	
      a Participant experiences a Separation From Service as a
      result of a permanent decrease in the level of services provided to less
      than 20% of his past service in circumstances that do not constitute a
      retirement from, or loss of office or employment with, the Corporation or
      an affiliate thereof, within the meaning of paragraph 6801(d) of the
      regulations under the Income Tax Act (Canada); or

	 	 	 
	 	(b) 	
      a Participant experiences a Separation From Service upon
      ceasing to be a director while continuing to provide services as an
      employee in circumstances that do not constitute a retirement from, or
      loss of office or employment with, the Corporation or an affiliate
      thereof, within the meaning of paragraph 6801(d) of the regulations under
      the Income Tax Act (Canada); or

	 	 	 
	 	(c) 	
      a Participant experiences a serious disability that
      continues for more than 29 months in circumstances that constitute a
      Separation from Service and do not constitute a retirement from, or loss
      of office or employment with, the Corporation or an affiliate thereof,
      within the meaning of paragraph 6801(d) of the regulations under the
      Income Tax Act (Canada); or

- 10 -

	 	(d) 	
      a Participant experiences a retirement from, or loss of
      office or employment with, the Corporation or an affiliate thereof, within
      the meaning of paragraph 6801(d) of the regulations under the Income
      Tax Act (Canada) by virtue of ceasing employment as both an employee
      and as a director, but he continues to provide services as an independent
      contractor such that he has not experienced a Separation From
    Service.

	8.13 	
      Interpretation

     In this text, words importing the
singular meaning shall include the plural and vice versa, and words importing
the masculine shall include the feminine and neuter genders.

	8.14 	
      Governing Law

     The validity, construction and
effect of the Plan and any actions taken or relating to the Plan shall be
governed by the laws of the Province of British Columbia and the federal laws of
Canada applicable therein.

	8.15 	
      Severability

     The invalidity or
unenforceability of any provision of the Plan shall not affect the validity or
enforceability of any other provision and any invalid or unenforceable provision
shall be severed from the Plan.

	8.16 	
      Effective Date

     The effective date of this Plan shall
be November 29, 2012.Gold And Gemstone Mining Inc.: Exhibit 10.1 - Filed by newsfilecorp.com

DATED 8th February, 2013

GOLD & GEMSTONE MINING INC 

And 

TELL MINING GROUP

__________________________________

COLLABORATION AGREEMENT

for the development of a Joint Venture Company in Ghana

__________________________________

COLLABORATION AGREEMENT

	DATED 	8th February, 2013 	 

PARTIES

	(1) 	
      GOLD & GEMSTONE MINING INC, 2144 Whitekirk Way,
      Draper, Utah, 84020, USA ("GGSM");

	 	 
	(2) 	
      TELL MINING GROUP, P.O. BOX 511, AKIM ODA, GHANA
    (TMG)

RECITAL

	(A) 	
      TMG is an active owner and developer of gold mining
      concessions in Ghana. Each mining concession constitutes a separate miming
      project to be included in this agreement as detailed in schedule A
      attached ("Concession(s)'').

	 	 
	(B) 	
      GGSM is a mining development and investment company with
      experienced executives and financial resources and wishes to commit to
      develop the business of the Concessions in a Joint Venture collaboration
      with TMG on the terms and conditions hereinafter appearing.

	 	 
	(C) 	
      The parties have agreed that the collaboration should be
      through a proposed Joint Venture Company ("JV Company") on the terms and
      conditions hereinafter appearing.

OPERATIVE PROVISIONS

	1. 	
      Interpretation

	 	 	 	 
		1.1 	
      In this Agreement unless the context otherwise requires:
      -

	 	 	 	 
			(a) 	
      References to “Equity Investment” are references to the
      proposed investment from GGSM to the JV Company per Concession on the
      terms described in Clause 2 hereof;

	 	 	 	 
			(b) 	
      References to "Ordinary Shares" are references to the
      ordinary shares in the capital of the JV Company from time to
  time:

	 	 	 	 
			(c) 	
      References to “Concession Companies” are references to
      each of the companies set up for each of the concessions and are 100%
      owned by TMG.

	 	 	 	 
		1.2 	
      The Clause headings in this Agreement are for convenience
      only and are of no legal effect.

	 	 	 	 
	2. 	
      Collaboration Agreement

	 	 	 	 
		2.1 	
      In consideration of the profit sharing agreement
      described herein the parties agree to establish the JV Company in such
      jurisdiction as may be agreed in good faith between the parties having
      taken into consideration appropriate professional advice on taxation and
      other business matters.

	 	 	 	 
		2.2 	
      The JV Company shall be structured as
  follows

		2.2.1 	
      50% of the Ordinary Shares to be issued to TMG and 50% to
      GGSM;

	 	 	 
		2.2.2 	
      The parties shall nominate an equal number of
      directors;

	 	 	 
		2.2.3 	
      TMG shall transfer full title and rights to the
      Concession to the JV Company as soon as practical after establishment of
      the JV Company, and produce to GGSM appropriate governmental evidence of
      such transfer of full legal title and GGSM shall review such documents and
      provide feedback and approval within 90 days;

	 	 	 
		2.2.4 	
      Following receipt of satisfactory evidence of such
      transfer in clause 2.2.3 above, GGSM shall make the Equity Investment as
      disclosed in Schedule A, per Concession into the bank account of
    TMG;

	 	 	 
		2.2.5 	
      The principal of TMG shall devote sufficient of his time
      to the JV Company and development of the Concession in order to achieve a
      profitable venture in TMG;

	 	 	 
		2.2.6 	
      GGSM shall provide mining equipment contracts for the
      JV;

	 	 	 
		2.2.7 	
      GGSM shall provide assistance in ground
  management.

	 	 	 
	3. 	
      Obligations and Warranties of GGC

	 	 	 
		3.1 	
      TMG warrants that it is in existence and in good standing
      under the companies laws of Ghana and is the sole and valid legal owner of
      the Concessions identified in Schedule A.

	 	 	 
		3.2 	
      TMG and its representatives will provide GGSM with: (i)
      such information including copies of documents) as GGSM may reasonably
      request and (ii) access to the books, records facilities and personnel of
      TMG in relation to the Concession as GGSM may reasonably
request.

	 	 	 
		3.3 	
      TMG warranties re evidence of mining prospects at
      Concession.

	 	 	 
	4. 	
      Obligations and Warranties of GGSM

	 	 	 
		4.1 	
      GGSM warrants that it is in existence and in good
      standing under the companies laws of Nevada, USA and that its shares are
      listed on the OTC stock exchange.

	 	 	 
	5. 	
      Distribution of Profits

	 	 	 
		5.1 	
      Profits of the JV Company from the collaboration
      hereunder at the Concessions shall be distributed on an annual (or more
      frequent by agreement) basis to the parties via dividends, once reserves
      for business development have been agreed.

	 	 	 
		5.2 	
      All income from the collaboration hereunder shall be
      deposited in the bank account of the Concession Companies.

	 	 	 
	6. 	
      Disputes over Calculations

	 	 	 
		6.1 	
      In the event of any dispute between the parties over the
      accounting for the JV Company, the same shall be referred to the
      independent accountants chosen by the parties jointly in good faith for
      such settlement who shall be entitled to make such further or other
      adjustments as may in the circumstances appear to them to be appropriate
and whose decision shall be regarded as a decision of an expert and not of an arbitrator and shall accordingly be final and binding upon the parties hereto. In the event that the parties cannot agree on a firm of independent accountants within 14 days of notification of a dispute, either of the parties may refer the matter to the President for the time being of the Institute of Chartered Accountants in England and Wales for the appointment of such independent accountants.

	7 	
      Confidentiality and Access to Information

	 	 	 
		7.1 	
      Each party acknowledges that each will be providing to
      the other information that is non- public confidential and proprietary in
      nature each party (and their respective affiliates, representative. agents
      and employees) will keep such information confidential and will not,
      except as otherwise provided below, disclose such information or use such
      information for any purpose other than for operation of the business of
      the JV Company this clause will not apply to information that: (i) becomes
      generally available to the public absent any breach of this clause; (ii)
      was available on a non-confidential basis to a party prior to its
      disclosure pursuant to this agreement; or (1ii} becomes available on a
      non-confidential basis from a third party who is not bound to keep such
      information confidential.

	 	 	 
		7.2 	
      Each party hereto agrees that it will not make any public
      disclosure of the existence of this agreement or of any of its terms
      without first advising the other party and obtaining the written consent
      of such other party to the proposed disclosure unless such disclosure is
      required by applicable law or regulation, or the listing requirements of
      the OTC Stock Exchange in the case of GGSM, in which event the party
      contemplating disclosure will inform the other party of and obtain its
      consent to the form and content of such disclosure which consent shall not
      be unreasonably withheld or delayed.

	 	 	 
		7.3 	
      Each of the parties and their representatives will
      provide one another with (i) such information (including copies of
      documents) as either party may reasonably request, and (ii) access to the
      books records, facilities and personnel of the parties as either party may
      reasonably request The parties will at all times permit one another and
      their representatives to review the business, assets and operations of the
      JV Company.

	 	 	 
	8. 	
      Costs

	 	 	 
		
      Each party will bear respective costs incurred in
      connection with the preparation, execution, and performance of this
      Agreement and the transactions contemplated hereby, including all fees and
      expenses of agent representatives, counsel, and accountants.

	 	 	 
	9. 	
      Term

	 	 	 
		
      This agreement shall commence on the date of the signing
      of this agreement and shall continue for an initial term of 5 years, upon
      which GGSM at its sole discretion has the option to extend the agreement
      for an additional 5 years under the same terms as outlined in this
      agreement.

	 	 	 
	10. 	
      Termination

	 	 	 
		10.1 	
      Either party may (without prejudice to any other rights
      of termination available to it) terminate this Agreement forthwith by
      giving notice of termination to the other upon any of the following
      events:

		10.1.1 	
      if the other commits any irremediable breach of its
      obligations hereunder (including but not limited to a failure to pay by
      the due date for payment);

	 	 	 
		10.1.2 	
      if the other commits any other breach of any of its
      obligations hereunder and falls to remedy the same (if capable of remedy)
      within thirty (30) days of the date of service of a notice specifying the
      breach in question and requiring it to be remedied;

	 	 	 
		10.1.3 	
      if the other is unable to pay its debts as and when they
      fall due or enters into any arrangement with its creditors or if an
      administrator, administrative or other recover, is appointed in respect of
      any of its assets or any application is made for the appointment of such
      officer or if the other is wound up or goes into liquidation;

	 	 	 
		10.1.4 	
      the agreement can be terminated with 30 days-notice at
      any time until such time the JV Company has been formed and formal
      shareholders agreement has been signed between the parties.

	 	 	 
	11. 	
      Assignment

	 	 	 
		
      Neither party shall assign the benefit or obligations of
      this Agreement without the written consent of the other.

	 	 	 
	12. 	
      Notices

	 	 	 
		12.1 	
      Any notice to be given hereunder shall be in writing and
      shall be validly given if delivered by hand or sent by first class post to
      the party concerned at the address of such party above mentioned or such
      other address for service as such party shall have previously notified in
      writing.

	 	 	 
		12.2 	
      In the case of delivery by hand the notice shall be
      deemed duly given on such delivery and in the case of notice sent by post
      as aforesaid the notice shall be deemed to have arrived on the second
      business day following the day on which it was posted.

	 	 	 
	13. 	
      Miscellaneous Provisions

	 	 	 
		13.1 	
      No variations of this Agreement shall be effective unless
      made in writing signed by or on behalf of the parties end expressed to be
      such a variation.

	 	 	 
		13.2 	
      This Agreement may be executed as two or more documents
      in the same form and execution by all of the parties of at least one of
      such documents will constitute due execution of this Agreement.

	 	 	 
		13.3 	
      No waiver by either party to this Agreement of any of the
      requirements of this Agreement or of any of their respective rights under
      this Agreement shall have effect unless given in writing signed by the
      other party to this Agreement. No waiver of any particular breach of the
      provisions of this Agreement shall operate as a waiver of any repetition
      of such breach.

	 	 	 
		13.4 	
      Time shall be of the essence in relation to all dates in
      this Agreement save as extended by mutual agreement between the
      parties.

	 	 	 
		13.5 	
      The Contracts (Rights of Third Parties) Act 1999 shall
      not apply to this Agreement and unless specifically herein provided no person other than the parties to this Agreement shall have any rights under it nor shall it be enforceable by any person other than the parties to it.

	14. 	
      Law

	 	 
		
      This Agreement shall be governed by and construed in
      accordance with English Law and the parties hereby submit to the
      non-exclusive jurisdiction of the English courts.

IN WITNESS whereof this Agreement has been entered into as a
deed the day and year first before written.

	EXECUTED and DELIVERED 
	as a deed for and on behalf of 
	GOLD AND GEMSTONE MINING INC. 
	  	  
	acting by: 	Charmaine King 
	  	Director / Secretary 
	  	  
	  	  
	  	  
	  	  
	EXECUTED and DELIVERED 
	as a deed for and on behalf of 
	TELL MINING GROUP 
	  	  
	acting by: 	Begyabeng Foster 
	  	Director / Secretary 

SCHEDULE A - CONCESSIONS

	Description of 
Concession 	Cash Deposit (USD) 
	Profit Share 
	Date Of Investment 

	Concession 1, 25 acres in 
the Atiwa District
      Ghana. 
North Latitude 6o 16’ 28” 
and to the South Latitude 
6o
      16’ 41” and East of 
Longitude -0o 42’ 57” and 
West of Longitude
      -0o 42’ 
40” 	$10,000 

	15% of net profits 
once in production,
      
paid quarterly per 
concession 

	The $10,000 cash is to 
be deposited with Tell
      
Mining prior to 
commencement of mining 

	Concession 2, 25 acres in 
the Atiwa District
      Ghana. 
North Latitude 6o 16’ 32” 
and to the South Latitude 
6o
      16’ 45” and East of 
Longitude -0o 43’ 51” and 
West of Longitude
      --0o 43’ 
36” 	$10,000 

	15% of net profits 
once in production,
      
paid quarterly per 
concession 

	The $10,000 cash is to 
be deposited with Tell
      
Mining prior to 
commencement of mining 

	Concession 3, 25 acres in 
the Atiwa District
      Ghana. 
North Latitude 6o 16’ 38” 
and to the South Latitude 
6o
      16’ 51” and East of 
Longitude -0o 43’ 44” and 
West of Longitude
      --0o 43’ 
30” 	$10,000 

	15% of net profits 
once in production,
      
paid quarterly per 
concession 

	The $10,000 cash is to 
be deposited with Tell
      
Mining prior to 
commencement of 
mining 

	Concession 4, 25 acres in 
the Atiwa District
      Ghana. 
North Latitude 6o 16’ 19” 
and to the South Latitude 
6o
      16’ 32” and East of 
Longitude -0o 43’ 54” and 
West of Longitude
      --0o 43’ 
37” 	$10,000 

	15% of net profits 
once in production,
      
paid quarterly per 
concession 

	The $10,000 cash is to 
be deposited with Tell
      
Mining prior to 
commencement of mining 

	Concession 5, 25 acres in 
the Atiwa District
      Ghana. 
North Latitude 6o 16’ 24” 
and to the South Latitude 
6o
      16’ 38” and East of 
Longitude -0o 43’ 45” and 
West of Longitude
      --0o 43’ 
30” 	$10,000 

	15% of net profits 
once in production,
      
paid quarterly per 
concession 

	The $10,000 cash is to 
be deposited with Tell
      
Mining prior to 
commencement of mining 

	Concession 6, 25 acres in 
the Atiwa District
      Ghana. 
North Latitude 6o 16’ 31” 
and to the South Latitude 
6o
      16’ 45” and East of 
Longitude -0o 43’ 37” and 
West of Longitude
      --0o 43’ 
21” 	$10,000 

	15% of net profits 
once in production,
      
paid quarterly per 
concession 

	The $10,000 cash is to 
be deposited with Tell
      
Mining prior to 
commencement of mining 

	Concession 7, 25 acres in 
the Atiwa District
      Ghana. 
North Latitude 6o 16’ 35” 
and to the South Latitude 
6o
      16’ 48” and East of 
Longitude -0o 43’ 06” and 
West of Longitude
      --0o 42’ 
49” 	$10,000 

	15% of net profits 
once in production,
      
paid quarterly per 
concession 

	The $10,000 cash is to 
be deposited with Tell
      
Mining prior to 
commencement of mining

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