Document:

Exhibit 10.1 

 

IRON SALE AGREEMENT

 

Applied Minerals, Inc.

 

and

 

BMC Minerals Company

 

(Iron Oxide Minerals, Iron Oxide Rights and
AMI Stock)

 

    	 	1	 

     

    

 

	 	Exhibits	 
	 	 	 
	Exhibit	Title	Section
	 	 	 
	1	Mill Sale Agreement	Recitals
	2	Lease	Recitals
	3	Mining Operations Agreement	Recitals
	4	Milling Operations Agreement	Recitals
	5	Mining Claims	1
	6	Second Amendment	1
	7	Adverse Claim	3.4(g)
	8	Escrow Agreement	Article VI
	9	Iron Warranty Deed	6(c)
	10	Bill of Sale	6(c)
	11	Noteholder Information	6(d)
	12	Foreign Corporation Certificate	6(e)

 

    	 	2	 

     

    

 

This AGREEMENT ("Iron Sale Agreement")
is made and entered into as of the 31st of May, 2022 by and between APPLIED MINERALS INC., a Delaware corporation, with a mailing
address of 1200 Silver City Road, PO Box 432, Eureka, Utah 84628 ("AMI"), and BMI MINERALS COMPANY, ("BMC”),
a Missouri corporation having its principal place of business at 16640 Chesterfield Grove Road, Suite 170, Chesterfield, MO 63005.

 

AMI and BMC may be referred to herein collectively
as the "Parties" or individually as a "Party."

 

RECITALS

 

		A.	AMI owns the Mining Claims (as defined below) and it extracts and processes, or has processed by others, both Halloysite Clay (“Halloysite”)
and iron oxide for sale in a range of markets.

 

		B.	AMI desires to sell certain assets related to its iron oxide business while retaining certain assets related to its Halloysite business
and BMC and its corporate parent Brady McCasland, Inc. (“BMI”) desire to acquire certain assets related to AMI’s iron
oxide business.

 

		C.	To that end, four separate agreements as detailed below will be entered into among AMI, BMC and BMI.

 

		D.	This Iron Sale Agreement will transfer certain minerals, mineral rights, and AMI stock to BMC.

 

		E.	The Mill Sale Agreement, (Exhibit 1) will transfer to BMI the Mill and Related Equipment as those terms are defined in the
Mill Sale Agreement and the parties will enter a ground lease relating to the Mill (“Lease,” Exhibit 2).

 

		F.	The Mining Operations Agreement (Exhibit 3) will provide that AMI will provide mining services to BMC in accordance with that
Mining Operations Agreement.

 

    	 	3	 

     

    

 

		G.	The Milling Operations Agreement (Exhibit 4) will provide that AMI will provide iron-milling services to BMI in accordance
with that Milling Operations Agreement. These Milling services will be provided to BMI because after the iron oxide is mined it will be
transferred to BMI from BMC.

 

ARTICLE I

 

DEFINITIONS

 

“AMI Stock” means 20
million shares of authorized and unissued shares of common stock of AMI, $0.001 par value.

 

“Form 10-K” means the
Annual Report on Form 10-K filed by AMI with the Securities and Exchange Commission for the year ended December 31, 2021.

 

“Iron Oxide Minerals” means the iron oxide
within the Mining Claims, subject to the Second Amendment, but shall exclude iron oxide intermingled with any economically recoverable
deposit of Halloysite. Iron Oxide Minerals do not include any iron oxide in surface piles of minerals described in Note 10 to the financial
statements in the 10-K. The Iron Oxide Minerals and the Iron Oxide Rights are the dominant estate.

 

“Iron Oxide Rights” means rights reasonably
necessary or useful for (i) access to (ingress and egress) to the Mining Claims, exploration for, drilling, mining, crushing, permitting,
producing, removing, processing, bagging, testing, analyzing, storing in bags, piles, or otherwise (including the creation of waste piles),
handling treating, disposing, containing, selling, vehicle parking for third party suppliers and others, communications equipment used
for, and shipping of Iron Oxide Minerals and non-Iron Oxide Minerals intermingled with Iron Oxide Minerals or whose removal is deemed
by BMC as necessary or desirable in order to accomplish any of the foregoing and (ii) the construction, repair, and/or use of buildings,
sheds, fixtures, equipment, and personal property or similar in connection with any of the foregoing. To the extent that any of the Iron
Oxide Rights may be deemed to be an easement, it is the intention of the Parties that such be deemed easements of necessity and to run
with the land.

 

    	 	4	 

     

    

 

”Mining Claims” means
the patented and unpatented mining claims located in Juab County, State of Utah, as more particularly described in Exhibit 5.

 

“Second Amendment” means
Second Amendment to and Restatement of Exploration Agreement with Option to Purchase by and between AMI and Tintic Copper and Gold, Inc.,
a copy of which is included in Exhibit 6.

 

ARTICLE II

 

SALE AND PURCHASE

 

Section 2.1      Sale and Purchase.
Subject to the terms and conditions of this Iron Sale Agreement, AMI agrees to sell, and BMC agrees to purchase, the following: (i) Iron
Oxide Minerals; (ii) the Iron Oxide Rights; and (iii) the AMI Stock.

 

Section 2.2.     Purchase Price.
The total purchase price under this Iron Sale Agreement for the three items listed in Section 2.1 is Three Hundred Thousand Dollars ($300,000)
(“Iron Oxide Purchase Price”). BMC has already paid One Hundred Thousand Dollars ($100,000) in cash as a deposit
toward the total Purchase Price. At the closing of the transaction, the $100,000 deposit will be credited to the Purchase Price under
the Iron Sale Agreement.

 

Section 2.3      Tax Allocation  For federal income
tax purposes, AMI and BMC agree to allocate the Iron Oxide Purchase Price as follows: $100,000 for the Iron Oxide Minerals and Iron Oxide
Rights, and $200,000 for the AMI Stock.

 

    	 	5	 

     

    

 

BMC
and AMI covenant and agree that (a) BMC and AMI shall file all tax returns (including, but not limited to, IRS Form 8594) consistent with
the allocation above and (b) neither BMC nor AMI will take any tax position before any governmental body or in any proceeding with respect
to tax that is in any way inconsistent with such allocation; provided, however, that nothing contained herein shall prevent BMC or AMI
from settling any proposed tax deficiency or adjustment by any governmental body based upon or arising out of the allocation, and neither
BMC nor AMI shall be required to litigate before any court any proposed tax deficiency or adjustment by any governmental body challenging
such allocation. Each of BMC and AMI agrees to provide the other promptly with any other information reasonably required to complete Form
8594 and Form 8883 (and any similar forms required for state or local tax purposes). Each of BMC and AMI shall notify the other in the
event of an examination, audit or other proceeding regarding the allocation determined under this section.

 

ARTICLE III

REPRESENTATIONS AND WARRANTIES OF AMI

 

AMI's Representations and Warranties. AMI
represents and warrants to BMC, as of the date hereof and the Closing Date, as follows:

 

Section 3.1     Organization
and Qualification. AMI is a corporation duly organized, validly existing and in good standing under the laws of the State of Delaware.
AMI has full corporate power and authority to own, lease and operate its properties and to carry on its business. AMI is duly qualified
or licensed as a foreign corporation to do business, and is in good standing, in Utah.

 

Section 3.2     Authority.
AMI has full corporate power and authority to execute, deliver and perform its obligations under this Iron Sale Agreement and the documents
contemplated thereby (such documents, the “Ancillary Documents”) and to consummate the transactions contemplated
by this Iron Sale Agreement and the Ancillary Documents (“Transactions”), subject to any contingencies or preconditions
included herein. This Iron Sale Agreement has been, and when delivered, the Ancillary Documents will have been, duly executed and delivered
by AMI and, when delivered in accordance with the terms hereof and thereof, will constitute the valid and binding obligation of AMI and
be enforceable upon and against AMI in accordance with such terms except as limited by general equitable principles and applicable bankruptcy,
insolvency, reorganization, moratorium and other laws of general application affecting enforcement of creditors’ rights generally.
No vote of any holders of any class or series of capital stock of AMI is necessary to approve the Iron Sale Agreement, the Ancillary Documents,
or the Transactions.

 

    	 	6	 

     

    

 

Section 3.3     No Conflict;
Required Filings and Consents. Except for specific preconditions and conditions to close contained herein, the execution, delivery
and performance by AMI of this Iron Sale Agreement and the Ancillary Documents and the consummation by AMI of the Transactions do not
and will not

(a) violate any provision of the Certificate
of Incorporation or By-Laws of AMI;

(b) violate any federal, state or local law,
order, decree, statute, regulation or injunction applicable to AMI;

(c) conflict with, result in a breach or default
under, require any consent of or notice to or give to any third party any right of modification, acceleration or cancellation, or result
in the creation of any lien, charge, mortgage, limitation, encumbrance, adverse claim, security interest or restriction or condition of
any kind whatsoever upon any property or right of AMI pursuant to any contract, agreement, license, permit or other instrument to which
AMI is a party or by which AMI or any of its rights, assets or properties may be bound, affected or benefited; or

(d) require any consent or approval of, registration
or filing with or notice to any federal, state or local governmental authority or any agency or instrumentality thereof, except for any
filings required to be made under applicable federal and state securities laws.

 

    	 	7	 

     

    

 

Section 3.4      Title

		(a)	Subject to the Second Amendment and the rights of Boral Resources,
LLC, with respect to its ownership of the surface piles, AMI is the sole legal, beneficial and recorded owner of the Mining Claims (subject
to the paramount title of the United States to the unpatented mining claims) and has good and marketable title to the Mining Claims,
Iron Oxide Minerals and Iron Oxide Rights free and clear free and clear lien, charge, mortgage, limitation, encumbrance, adverse claim,
security interest, restriction or condition of kind whatsoever. Subject to the Second Amendment and the rights of the owner of the surface
piles, AMI has not previously granted, conveyed, sold, mortgaged, pledged, hypothecated, or otherwise transferred any interest in the
Mining Claims, to any other person or entity, and is not aware of any transfer of an interest in the Mining Claims by its shareholders,
nor any actual or threatened claim of title by its shareholders or any third party to the Mining Claims. ,

 

		(b)	AMI has not received written notice of any claims, actions,
suits, or other proceedings pending or threatened by any governmental department or agency, or any other entity or person, pertaining
to the Mining Claims.

 

		(c)	The execution, delivery, and performance by AMI of this Iron Sale Agreement and the Ancillary Documents
and the Transactions contemplated thereby does not and will not conflict with, or result in the breach or termination of any provision
of, or constitute a default under, any indenture, mortgage, deed of trust, bond, lease, contract, or other instrument or agreement or
any order, judgment, award, or decree to which AMI is subject or by which the assets of AMI may be bound, or result in the creation of
a lien, charge, or encumbrance upon the Mining Claims.

 

		(d)	AMI has the full right, legal capacity and means to execute this transfer of the Iron Oxide Minerals,
the Iron Oxide Rights, and the AMI Stock without obtaining the consent or approval of any governmental authority.

 

		(e)	There are no unpaid liabilities or obligations related to the Mining Claims which AMI is obligated to
satisfy on or before the Closing or any such liabilities and obligations which AMI may be obligated to satisfy after the Closing and which
arise by, through or under AMI.

 

		(f)	The unpatented Mining Claims included in Exhibit 5 have been duly and validly staked and recorded in accordance
with applicable state and federal laws and regulations, all material filings and recordings of proof of performance and/or notice of intent
to hold have been made properly and all federal annual unpatented mining claim maintenance and rental fees have been paid properly and
timely, and the Mining Claims are in all respects presently in good standing under applicable Utah and federal mining laws and regulations,
and are free and clear of all liens, charges and encumbrances whatsoever. Prior the Closing anticipated under this Iron Sale Agreement,
AMI shall be responsible for maintaining the unpatented Mining Claims in Exhibit 5, including completing any filings required under the
federal mining law.

 

    	 	8	 

     

    

 

		(g)	Except as described in Exhibit 7, there is no adverse claim or challenge against or to the ownership of
the Mining Claims nor is there any basis therefor. Subject to the Second Amendment, there are no outstanding agreements or rights or options
to acquire or purchase the Mining Claims, or any portion thereof. Subject to the Second Amendment, no person, firm or corporation has
any proprietary or possessory interest in the Mining Claims other than AMI and BMC pursuant to this Iron Sale Agreement. No person is
entitled to any royalty or other payment in the nature of rent or royalty on any of the Iron Oxide Minerals from the Mining Claims.

 

		(h)	Neither AMI nor, to AMI's knowledge, has any third party:

 

(x) Caused or permitted the Mining Claims
to be used to generate, manufacture, refine, transport, treat, store, use, handle, dispose of, transfer, produce, process, contain or
be constructed of a "Hazardous Material" (as defined below), except in compliance with all Applicable law; or

 

(y) Caused, permitted, authorized, or
has knowledge of the presence or release or threat of release of any Hazardous Material in, on, under, or migrating to or from the Mining
Claims; or

 

(z) Received any notice or other information,
whether written or oral and whether actual or threatened, from any governmental agency or authority or any other entity or individual,
whether governmental or private, concerning or alleging any liability of AMI or other persons or entities with respect to the Environmental
Condition of the Mining Claims, or any intentional or unintentional act or omission or any fact or condition which has resulted or which
may result in any Environmental Condition in, on, under, or adjacent to the Mining Claims.

 

    	 	9	 

     

    

 

For purposes of this Iron Sale Agreement, "Environmental
Condition" means (i) contamination or pollution of soil, air, surface or groundwater, (ii) the disposal, placement, existence, presence
or release or threat of release of a Hazardous Material and the effects thereof, (iii) noncompliance with or violation of Applicable law
including, without limitation, any lack of required governmental permits or approvals, "Hazardous Material' means (iv) any substance,
the presence of which requires investigation, remediation, or other response or corrective action under Applicable law, or (v) any substance
which is defined as a hazardous waste, hazardous substance, extremely hazardous substance, hazardous material, hazardous matter, hazardous
chemical, toxic substance, toxic chemical, pollutant or contaminant, or other similar term, in or pursuant to Applicable law, or (vi)
any asbestos or asbestos-containing material, PCBs or equipment or articles containing PCBs, petroleum, diesel fuel, gasoline or other
petroleum hydrocarbons, and "Applicable law " means all existing federal, state or local laws, common law, statutes or regulations,
including, without limitation, those relating to the protection of human health and safety, protection of the environment, or prevention
of pollution.

 

		(i)	All documents provided to BMC by AMI pursuant to the Iron Sale Agreement are, and all statements in the
Form 10-K as of the filing date of the Form 10-K were, accurate and not misleading and, to the extent in the possession or under the control
of AMI, are complete and correct copies of originals and represent truly and completely the factual matters stated therein; provided that,
notwithstanding the foregoing, AMI does not make, and shall not be deemed to have made, any representation or warranty with respect to
any part or all of the information prepared or submitted by parties other than AMI or with respect to the amount or recoverability of
Iron Oxide Minerals.

 

    	 	10	 

     

    

 

		(j)	To AMI’s knowledge, there are not presently pending any special assessments or condemnation actions
against the Mining Claims or any part thereof, and AMI has not received any notice of any assessment or condemnation actions being contemplated;
provided that any assessment which is or becomes a lien against the Mining Claims prior to the Closing shall be satisfied by AMI prior
to or at the Closing, except as set forth in this Iron Sale Agreement or otherwise agreed in writing by AMI and BMC.

 

ARTICLE IV

 

BMC’S REPRESENTATIONS AND WARRANTIES

 

BMC's Representations and Warranties. BMC
represents and warrants to AMI, as of the date hereof and the Closing Date, as follows:

 

4.1       Organization
and Qualification. BMC is a corporation duly organized, validly existing and in good standing under the laws of the State of Missouri.
BMC has full corporate power and authority to own, lease and operate its properties and to carry on its business.

 

Section 4.2     Authority.
BMC has full corporate power and authority to execute, deliver and perform its obligations under this Iron Sale Agreement and the Ancillary
Documents and to consummate the Transactions. This Iron Sale Agreement has been, and when delivered, the Ancillary Documents will have
been, duly executed and delivered by BMC and, when delivered in accordance with the terms hereof and thereof, will constitute the valid
and binding obligation of BMC and be enforceable upon and against BMC in accordance with such terms except as limited by general equitable
principles and applicable bankruptcy, insolvency, reorganization, moratorium and other laws of general application affecting enforcement
of creditors’ rights generally.

 

Section 4.3     No Conflict;
Required Filings and Consents. The execution, delivery and performance by BMC of this Iron Sale Agreement and the Ancillary Documents
and the consummation by BMC of the Transactions do not and will not

(a) violate any provision of the Certificate
of Incorporation or By-Laws of BMC;

 

    	 	11	 

     

    

 

(b) violate any federal, state or local law,
order, decree, statute, regulation or injunction applicable to BMC;

(c) conflict with, result in a breach or default
under, require any consent of or notice to or give to any third party any right of modification, acceleration or cancellation, or result
in the creation of any lien, charge, mortgage, limitation, encumbrance, adverse claim, security interest or restriction or condition of
any kind whatsoever upon any property or right of BMC pursuant to any contract, agreement, license, permit or other instrument to which
BMC is a party or by which BMC or any of its rights, assets or properties may be bound, affected or benefited; or

(d) require any consent or approval of, registration
or filing with or notice to any federal, state or local governmental authority or any agency or instrumentality thereof, except for any
filings required to be made under applicable federal and state securities laws.

 

ARTICLE V

ESCROW

 

5.1       
The parties will enter into an Escrow Agreement in the form attached (Exhibit 8) The same Escrow account may be used in connection with
the purchase price in the Mill Sale Agreement, if the parties so agree.

 

ARTICLE VI

CLOSING

 

The Closing. The Closing
of this Iron Sale Agreement (the “Closing”) shall be held on a date that is agreed upon by the Parties (“Last
Date for Closing”). The date upon which the Closing actually takes place, or, if more than one (1) day is required to complete
the Closing, the dates upon which the Closing is actually accomplished, shall be deemed and considered the “Closing Date.”

 

    	 	12	 

     

    

 

 

 

The Closing shall take place in accordance with
the terms of the Escrow Agreement and this Iron Sale Agreement only when all of the conditions of the Closing of this Iron Sale Agreement
have been satisfied or waived.

 

If the Closing does not take place on or before
the Last Date for Closing, this Iron Sale Agreement shall terminate and in accordance with the Escrow Agreement, funds deposited in the
Escrow will be returned to BMC.

 

At the Closing, the following
shall occur or exist, each of which shall be considered a condition precedent to the other and all of which shall be considered as taking
place simultaneously, unless noted:

 

(a)     The
written consents to the amendments signed in counterparts by the majority holders of the Series A and Series 2023 Notes and AMI are delivered
to Carney as an officer of the Company

 

(b)    
AMI delivers a certified copy of a certificate filed with the Delaware Secretary of State setting
forth the amendment adopting the Series C Preferred Stock and certifying that such amendment has been duly adopted in accordance with
this section shall be executed, acknowledged and filed and shall become effective in accordance with §103 of the Delaware General
Corporation Law;

 

(c)     BMC
will fund the escrow in the amount of $200,000;

 

(d)     No
breach, or any condition that could lead to such breach of any representation, warranty, or covenant or other obligation under this Iron
Sale Agreement, the Mill Sale Agreement, the Mining Operations Agreement and the Mining Operations Agreement (the “Four Agreements”)
shall have occurred and not been waived by the Party entitled to waive.

 

(e)     All
of the conditions of closing in the Mill Sale Agreement, the Mining Operations Agreement and the Mining Operations Agreement shall have
been satisfied.

 

    	 	13	 

     

    

 

(f)      AMI
will deliver to BMC, evidence reasonably satisfactory to BMC that the requirements of Section 1.7 of the Second Amendment have been complied
with in connection with the Iron Sale Agreement, the Mill Sale Agreement, the Mining Operations Agreement, and the Milling Operations
Agreement.

 

(g)     AMI
shall deliver to BMC a warranty deed (“Iron Warranty Deed“) (Exhibit 9).

 

(h)     AMI
shall deliver to BMC a certificate and affidavit (Exhibit 10) certifying that AMI is not a “foreign corporation,” “foreign
partnership,” “foreign trust,” “foreign estate,” or foreign person” as defined in Section 1445 of
the Internal Revenue Code of 1986.

 

(i)      BMC
shall record in the official real estate records of Juab County, Utah the Iron Warranty Deed.

 

(j)      AMI
shall provide resolutions of its Board of Directors authorizing the Four Agreements, the Ancillary Documents, and the Transactions contemplated
thereby and if stock is to be paid in consideration, the authorization for issuance of such stock. AMI, BMC and BMI shall execute such
other documents and, further, take such other actions as are reasonably necessary and appropriate to effectuate the Closing in accordance
with this Agreement. The parties specifically agree that the conditions precedent to this Agreement and to Closing are of substantial
importance to the parties and the failure and non-waiver of any condition precedent shall be sufficient to terminate this Agreement and
relieve each party of any obligation to Close.

 

(k)     Exhibits.
Notwithstanding statements elsewhere in the Iron Sale Agreement to the effect that exhibits are attached, certain exhibits are not attached.
But such exhibits are to be attached as a condition of closing.

 

    	 	14	 

     

    

 

ARTICLE VII

 

GENERAL PROVISIONS

 

7.1        Indemnity. Each
Party shall hold harmless, indemnify and defend the other Party, its directors, officers, employees, representatives, attorneys, and agents
(collectively, the “Indemnified Parties”), from any material claims, liability (including environmental liabilities)
loss, damage, judgment or expense arising out of the indemnifying party’s material breach of any representation, warranty or covenant
contained in this Agreement or the Ancillary Documents, except to the extent any such claim, loss, damage, judgment, or expense is caused
by the material negligence or intentional misconduct of the Indemnified Party or Parties.

 

Notwithstanding the foregoing, in the event that an arbitrator
per Section 7.9 determines that any of the representations in Section 3.4(a) are incorrect and may be material and such incorrectness
has not been cured, AMI will pay BMC $3.0 million in liquidated or stipulated damages. The Parties agree that $3.0 million is a reasonable
estimate of the actual damages that BMC would suffer as a result of such breach because of the inherent uncertainty and difficulty of
determining and quantifying damages and is not a penalty. AMI agrees that it will not assert that such a remedy is unenforceable.

 

7.2         Survival; Remedies Cumulative. The representations
warranties and covenants herein shall survive the Closing indefinitely. All remedies are cumulative, and a Party may exercise all remedies
afforded to it in any order.

 

7.3         Further Representations
and Assurances. Except as provided for in this Iron Sale Agreement, BMC is not, and is not deemed to be, a successor or agent of AMI,
it being understood that BMC is acquiring only the Iron Oxide, the Iron Oxide Rights; and the AMI Stock and it is expressly understood
and agreed that BMC has not and does not hereby assume or agree to assume any liability whatsoever of AMI, and BMC does not assume or
agree to assume any obligation of AMI under any contract, agreement, indenture, or any other document to which AMI may be a party or by
which AMI is or may be bound, or which in any manner affect the Mining Claims or any part thereof, except obligations as assignee under
the Second Amendment.

 

    	 	15	 

     

    

 

7.4         Notices.
All communications, consents, and other notices provided for in this Iron Sale Agreement shall be in writing and shall be effective on
the date hand-delivered, sent by facsimile, or mailed by registered or certified mail, return receipt requested, postage prepaid, and
addressed as follows:

 

If to AMI, to:

 

APPLIED MINERALS, INC.

 

1200 Silver City Road

 

PO Box 432

 

Eureka, UT 84628

 

Attn: Christopher Carney

 

or to such other address as AMI may designate
to BMC, in writing.

 

If to BMC, to:

 

BMI MINERALS COMPANY.

 

16640 Chesterfield Grove Road, Suite
170

 

Chesterfield, MO 63005

 

Attn: Richard Fox

 

or to such other address as BMC may designate
to AMI, in writing.

 

7.5        Amendment; Waiver.
No supplement, modification or amendment of this Agreement shall be binding unless executed in writing by all Parties. No waiver of any
of the provisions of this Agreement shall be deemed, or shall constitute, a waiver of any other provision, whether or not similar, nor
shall any waiver constitute a continuing waiver. No waiver shall be binding unless executed, in writing, by the Party making the waiver.

 

7.6         Binding
Nature. This Iron Sale Agreement shall be binding upon and shall inure to the benefit of the Parties to it and their respective successors
and assigns. ,

 

    	 	16	 

     

    

 

7.7        Invalidity.
In the event that any provision of this Iron Sale Agreement shall be held invalid and unenforceable, such provision shall be severable
from, and such invalidity and unenforceability shall not be construed to have any effect on the remaining provisions of this I Sale Agreement.

 

7.8        Counterparts.
This Agreement may be executed and delivered by facsimile or electric transmission, and in one or more counterparts, each of which shall
be deemed an original and all of which shall constitute one and the same instrument.

 

7.9        Governing
law. All disputes arising under this agreement shall be governed by and
interpreted in accordance with the laws of Utah without regard to principles of conflict
of laws. The parties to this agreement will submit all disputes arising under this agreement to arbitration in St.
Louis, Missouri, before a single arbitrator of the American Arbitration Association (“AAA”). The
arbitrator shall be selected by application of the rules of the AAA, or by mutual agreement of the parties.
No party to this agreement will challenge the jurisdiction or venue provisions as provided in this section. Nothing contained herein shall prevent 
the party  from  obtaining  an  injunction. AMI waives the defense of inconvenient forum.

 

    	 	17	 

     

    

  

7.10      Additional Documents.
The Parties agree from time to time to execute such additional documents as are necessary to effect the intent of the Parties as manifested
by this Agreement.

 

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

 

	 	APPLIED MINERALS INC.
	 	 	 
	 	By:	 
	 	 	 
	 	Name:	 
	 	 	 
	 	Title:	 
	 	 	 
	 	BMI MINERALS COMPANY
	 	 	 
	 	By:	 
	 	 	 
	 	Name:	 
	 	 	 
	 	Title:	 

 

    	 	18Exhibit 10.2

 

MILL

 

SALE

 

AGREEMENT

 

(Mill and Related Equipment)

 

Applied Minerals, Inc.

 

and

 

Brady McCasland, Inc.

 

    	 	1	 

     

    

 

Table of Contents

 

	Recitals	4
	 	 
	Article I    Definitions	5
	 	 
	Article II   Sale and Purchase	6
	 	 
	Article III   Representations and Warranties of BMI	7
	 	 
	Article IV  BMI’s Representations and Warranties	10
	 	 
	Article V  Escrow	11
	 	 
	Article VI   Closing	11
	 	 
	Article VII     General Provisions	14

 

    	 	2	 

     

    

 

	Exhibit	 	Title	 	Section
	1	 	Iron Sale Agreement	 	Recitals
	2	 	Mining Operations Agreement	 	Recitals
	3	 	Milling Operations Agreement	 	Recitals
	4	 	Lease	 	Recitals
	5	 	Buildings and Fixtures	 	Article I
	6	 	Laboratory Equipment	 	Article I
	7	 	Related Equipment	 	Article i
	8	 	Second Amendment	 	Article I
	9	 	Mining Claims 	 	Article 1
	10	 	Allocation Schedule	 	2.2
	11	 	Escrow Agreement	 	Article V
	12	 	 	 	7(a)
	13	 	Bill of Sale	 	7(c)
	14	 	 	 	7(d)
	15	 	 	 	7(e)

 

    	 	3	 

     

    

 

This AGREEMENT ("Mill Sale Agreement")
is made and entered into as of the 31st of May, 2022 by and between APPLIED MINERALS INC., a Delaware corporation, with a mailing
address of 1200 Silver City Road, PO Box 432, Eureka, Utah 84628 ("AMI"), and BRADY MCCASLAND, INC., ("BMI”),
a Missouri corporation having its principal place of business at 16640 Chesterfield Grove Road, Suite 170, Chesterfield, MO 63005.

 

AMI and BMI may be referred to herein collectively
as the "Parties" or individually as a "Party."

 

RECITALS

 

		A.	AMI desires to sell certain assets related to its mining operations business while retaining all assets related to its halloysite
clay business and Brady McCasland, Inc. (“BMI”) desires to acquire certain assets of AMI’s iron oxide business.
	 	 	 

		B.	This Mill Sale Agreement, transfers to BMI the Mill and Related Equipment (“Mill”) as those terms are defined
in this Mill Sale Agreement for cash, and the parties will enter into a separate ground lease relating to the Mill.
	 	 	 

		C.	A Mining Operations Agreement (Exhibit 2) will be entered into to provide that AMI will provide certain mining services
to BMC, a related BMI party for the extraction of minerals.
	 	 	 

		D.	A Milling Operations Agreement (Exhibit 3) will be entered into to provide that AMI will provide certain milling services
to BMI.

 

    	 	4	 

     

    

 

ARTICLE I

 

DEFINITIONS

 

Capitalized terms not defined herein have the same meanings as in the Iron
Sale Agreement of even date herewith.

 

“Form 10-K” means the Annual
Report on Form 10-K filed by AMI with the Securities and Exchange Commission for the year ended December 31, 2021.

 

“Lease” means the Lease in Exhibit 4. The Lease
is a ground lease for land that is within 100 feet of the Mill measured to include any Mining Claim that is within 100 feet of the Mill..
It is the intention of the Parties that in the future event of any bankruptcy involving AMI and the real property at the Mill that the
Lessee be provided with adequate protection under Sections 363 of the Bankruptcy Code.

 

“Mill”
means the building and fixtures described in the Form 10-K as follows. “We have a primary processing plant with capacity to mill
up to 45,000 tons of mineralization per annum for certain clay applications. This facility can also be used to mill iron oxide.”
In particular, the Mill includes, but is not limited to, the buildings and the fixtures, including conveyors, tank farm, storage bins,
bucket elevators, bagging machines, airlocks, and other machinery and equipment related to milling, bagging, storing, moving, loading
and other fixtures used in connection with or related to the operation the Mill. A non-exclusive list of the buildings and fixtures is
set forth in Exhibit 5. The Mill also includes an easement for access, maintenance, use,
and support. For
the purpose of clarity, the Mill includes the building but not the equipment used for quality control and research, described in the following
as set forth in the 10-K: “The property also has a well-equipped laboratory used for quality control and research. Such equipment
is set forth in Exhibit 6.

 

“Related Equipment” means
the equipment that is not a fixture that is or has been used in connection with the Mill and operation of the Mill, all as listed in Exhibit
7. If it is subsequently determined that any equipment is or has been used in the Mill or the operation of the mill, it will be deemed
Related Equipment.

 

    	 	5	 

     

    

 

“Second Amendment” means
Second Amendment to and Restatement of Exploration Agreement with Option by and between AMI and Tintic Copper and Gold, Inc., a copy of
which is included in Exhibit 8.

 

ARTICLE II

 

SALE AND PURCHASE

 

Section 2.1 Sale and Purchase.
Subject to the terms and conditions of this Mill Sale Agreement, (i) AMI agrees to sell, and BMI agrees to purchase the following: (i)
the Mill; (ii) Related Equipment; and in conjunction with the sale the Parties agree to enter into the Lease in the form attached as Exhibit
4. In connection with the sale of the Mill, the Mill is constructively severed from the land, the Mining Claims, on which it is located.
 

 

Section 2.2. Purchase Price.
The total purchase price including future lease amounts for the items listed in Section 2.1 is one Million Seven Hundred thousand Dollars
($1,700,000.00) (“Purchase Price”).

 

Section 2.3 Allocation. AMI and BMI agree to allocate
the Purchase Price and other relevant items for tax purposes as set forth in the Allocation Statement set for in Exhibit 9. BMI
and AMI covenant and agree that (a) BMI and AMI shall file all tax returns (including, but not limited to, IRS Form 8594) consistent with
the allocation in exhibit 9 and (b) neither BMI nor AMI will take any tax position before any governmental body or in any proceeding with
respect to tax that is in any way inconsistent with such allocation; provided, however, that nothing contained herein shall prevent BMI
or AMI from settling any proposed tax deficiency or adjustment by any governmental body based upon or arising out of the allocation, and
neither BMI nor AMI shall be required to litigate before any court any proposed tax deficiency or adjustment by any governmental body
challenging such allocation. Each of BMI and AMI agrees to provide the other promptly with any other information reasonably required to
complete Form 8594 and Form 8883 (and any similar forms required for state or local tax purposes). Each of BMI and AMI shall notify the
other in the event of an examination, audit or other proceeding regarding the allocation determined under this section.

 

    	 	6	 

     

    

  

ARTICLE III

 

REPRESENTATIONS AND WARRANTIES OF AMI

 

 AMI's Representations and Warranties.
AMI represents and warrants to BMI as of the date hereof and the Closing Date, as follows:

 

Section 3.1     Organization
and Qualification. AMI is a corporation duly organized, validly existing and in good standing under the laws of the State of Delaware.
AMI has full corporate power and authority to own, lease and operate its properties and to carry on its business. AMI is duly qualified
or licensed as a foreign corporation to do business, and is in good standing, in Utah.

 

Section 3.2     Authority.
AMI has full corporate power and authority to execute, deliver, and perform its obligations under this Mill Sale Agreement and the documents
contemplated thereby (such documents, the “Ancillary Documents”) and to consummate the transactions contemplated
by this Mill Sale Agreement and the Ancillary Documents (“Transactions”). This Mill Sale Agreement has been,
and when delivered, the Ancillary Documents will have been, duly executed and delivered by AMI and, when delivered in accordance with
the terms hereof and thereof, will constitute the valid and binding obligation of AMI and be enforceable upon and against AMI in accordance
with such terms except as limited by general equitable principles and applicable bankruptcy, insolvency, reorganization, moratorium and
other laws of general application affecting enforcement of creditors’ rights generally. No vote of any holders of any class or series
of capital stock of AMI is necessary to approve the Mill Sale Agreement, the Ancillary Documents, or the Transactions.

 

    	 	7	 

     

    

 

Section 3.3     No Conflict;
Required Filings and Consents. Except for specific preconditions and conditions to Close contained herein, The execution, delivery
and performance by AMI of this Mill Sale Agreement and the Ancillary Documents and the consummation by AMI of the Transactions do not
and will not

 

(a) violate any provision of the Certificate of
Incorporation or By-Laws of AMI;

 

(b) violate any federal, state or local law, order,
decree, statute, regulation or injunction applicable to AMI;

 

(c) conflict with, result in a breach or default
under, require any consent of or notice to or give to any third party any right of modification, acceleration or cancellation, or result
in the creation of any lien, charge, mortgage, limitation, encumbrance, adverse claim, security interest or restriction or condition of
any kind whatsoever upon any property or right of AMI pursuant to any contract, agreement, license, permit or other instrument to which
AMI is a party or by which AMI or any of its rights, assets or properties may be bound, affected or benefited; or

 

(d) require any consent or approval of, registration
or filing with or notice to any federal, state or local governmental authority or any agency or instrumentality thereof, except for any
filings required to be made under applicable federal and state securities laws.

 

Section 3.4     Title

 

(a) AMI has good and marketable title to the Mill and all of
the Related Equipment free and clear free and clear of any lien, charge. mortgage, limitation, encumbrance, adverse claim, security interest,
restriction or condition of kind whatsoever.

 

(b) To the best of AMI’s knowledge, the Mill and the
fixtures in it and each item of tangible personal property of Related Equipment is in all material respects in good condition or good
operating condition, ordinary wear and tear excepted, and is adequate for the uses to which it is being put.

 

(c)The execution, delivery, and performance by AMI of this
Mill Sale Agreement and the Ancillary Documents and the Transactions contemplated thereby (including the Lease) does not and will not
conflict with, or result in the breach or termination of any provision of, or constitute a default under, any indenture, mortgage, deed
of trust, bond, lease, contract, or other instrument or agreement or any order, judgment, award, or decree to which AMI is subject or
by which the assets of AMI may be bound, or result in the creation of a lien, charge, or encumbrance upon the Mill or the Related Equipment,
the Laboratory Equipment or the Lease.

 

    	 	8	 

     

    

 

(d) AMI has the full right, legal capacity and means to execute
this Mill Sale Agreement, the Lease, and the bill of sale of the Related Equipment, and the Ancillary Documents, and to transfer the Mill
and the Related Equipment and the AMI Stock without obtaining the consent or approval of any governmental authority or any other person
or entity to which AMI or any of AMI's property may be subject.

 

(e)There are no unpaid liabilities or obligations related to
the Mill, the Related Equipment, or the Laboratory Equipment which AMI is obligated to satisfy on or before the Closing or any such liabilities
and obligations which AMI may be obligated to satisfy after the Closing.

 

(f)All documents provided to BMI by AMI
pursuant to the Mill Sale Agreement and statements in the 10-K are accurate and not misleading as of the date made and, to the extent
in the possession or under the control of AMI, are complete and correct copies of originals and represent truly and completely the factual
matters stated therein; provided that, notwithstanding the foregoing, AMI does not make, and shall not be deemed to have made, any representation
or warranty with respect to any part or all of the information prepared or submitted by parties other than AMI or with respect to the
amount or recoverability of Iron Oxide Minerals.

 

(g) There are not presently pending any
special assessments or condemnation actions against the Mining Claims or any part thereof, and AMI has not received any notice of any
assessment or condemnation actions being contemplated; provided that any assessment which is or becomes a lien against the Mining Claims
prior to the Closing shall be satisfied by AMI prior to or at the Closing, except as set forth in this Mill Sale Agreement or otherwise
agreed in writing by AMI and BMI.

  

    	 	9	 

     

    

 

ARTICLE IV

 

BMI’S REPRESENTATIONS AND WARRANTIES

 

BMI's Representations and Warranties. BMI represents
and warrants to AMI (with the understanding that AMI is relying on said representations and warranties in entering into this Mill Sale
Agreement), as of the date hereof and the Closing Date, as follows:

 

4.1       Organization
and Qualification. BMI is a corporation duly organized, validly existing and in good standing under the laws of the State of Missouri.
BMI has full corporate power and authority to own, lease and operate its properties and to carry on its business.

 

4.2     Authority.
BMI has full corporate power and authority to execute, deliver and perform its obligations under this Mill Sale Agreement, the Lease and
the Ancillary Documents and to consummate the Transactions. This Mill Sale Agreement has been, and when delivered, the Ancillary Documents
and the Lease will have been, duly executed and delivered by BMI and, when delivered in accordance with the terms hereof and thereof,
will constitute the valid and binding obligation of BMI and be enforceable upon and against BMI in accordance with such terms except as
limited by general equitable principles and applicable bankruptcy, insolvency, reorganization, moratorium and other laws of general application
affecting enforcement of creditors’ rights generally.

 

    	 	10	 

     

    

 

4.3     No Conflict; Required
Filings and Consents. The execution, delivery and performance by BMI of this Mill Sale Agreement and the Lease and the Ancillary Documents
and the consummation by BMI of the Transactions do not and will not

 

(a) violate any provision of the Certificate of
Incorporation or By-Laws of BMI;

 

(b) violate any federal, state or local law, order,
decree, statute, regulation or injunction applicable to BMI;

 

(c) conflict with, result in a breach or default
under, require any consent of or notice to or give to any third party any right of modification, acceleration or cancellation, or result
in the creation of any lien, charge, mortgage, limitation, encumbrance, adverse claim, security interest or restriction or condition of
any kind whatsoever upon any property or right of BMI pursuant to any contract, agreement, license, permit or other instrument to which
BMI is a party or by which BMI or any of its rights, assets or properties may be bound, affected or benefited; or

 

(d) require any consent or approval of, registration
or filing with or notice to any federal, state or local governmental authority or any agency or instrumentality thereof, except for any
filings required to be made under applicable federal and state securities laws.

 

ARTICLE V

ESCROW

 

5.1       
The parties will enter into an Escrow Agreement in the form attached (Exhibit 11) The same Escrow account may be used in connection with
the purchase price in the Iron Sale Agreement, if the parties so agree.

.

ARTICLE VI

CLOSING

 

The Closing. The Closing
of this Mill Sale Agreement (the “Closing”) shall be held on a date agreed upon by the Parties (“Last
Date for Closing”). The date upon which the Closing actually takes place, or, if more than one (1) day is required to complete
the Closing, the dates upon which the Closing is actually accomplished, shall be deemed and considered the “Closing Date.”

 

    	 	11	 

     

    

 

The Closing shall take place in accordance with the
terms of the Escrow Agreement and this Mill Sale Agreement only when all of the conditions of the Closing of this Mill Sale Agreement
have been satisfied or waived.

 

If the Closing does not take place on or before the
Last Date for Closing, this Mill Sale Agreement shall terminate and in accordance with the Escrow Agreement, funds deposited in the Escrow
will be returned to BMI.

 

At the Closing, the following shall
occur or exist, each of which shall be considered a condition precedent to the other and all of which shall be considered as taking place
simultaneously, unless noted:

 

(a)       The
written consents to the amendments signed in counterparts by the majority holders of the Series A and Series 2023 Notes and AMI are delivered
to Christopher Carney or other duly appointed officer of AMI;

 

(b)       AMI
delivers a certified copy of a certificate filed with the Delaware Secretary of State setting forth
the amendment adopting the Series C Preferred Stock and certifying that such amendment has been duly adopted in accordance with this section
shall be executed, acknowledged and filed and shall become effective in accordance with §103 of the Delaware General Corporation
Law;

 

(c)       BMI
will fund the escrow in the amount of $1,700,000;

 

(d)       No
breach, or any condition that could lead to such breach of any representation, warranty, or covenant or other obligation under this Mill
Sale Agreement, the Iron Sale Agreement, the Mining Operations Agreement and the Milling Operations Agreement (the “Four Agreements”)
shall have occurred and not been waived by the Party entitled to waive;

 

    	 	12	 

     

    

 

(e)       All
of the conditions of closing in the Iron Sale Agreement, the Mining Operations Agreement and the Milling Operations Agreement shall have
been satisfied;

 

(f)       AMI
will deliver to BMI evidence reasonably satisfactory to BMI that the requirements of Section 1.7 of the Second Amendment have been complied
with in connection with the Iron Sale Agreement, the Mill Sale Agreement, the Mining Operations Agreement, and the Milling Operations
Agreement;

 

(g)       AMI
shall deliver to BMI a bill of sale for the Mill Exhibit ___ and Related Equipment (Exhibit 10) and this Mill Sale Agreement and the Bill
of Sale shall be filed with the Juab County Recorder of Deeds;

 

(h) AMI shall provide resolutions of its Board of Directors authorizing
the Four Agreements, the Ancillary Documents, and the Transactions contemplated thereby and if stock is to be paid in consideration, the
authorization for issuance of such stook. AMI, BMC and BMI shall execute such other documents and, further, take such other actions as
are reasonably necessary and appropriate to effectuate the Closing in accordance with this Agreement; and

 

(i)Exhibits.
Notwithstanding statements elsewhere in the Mill Sale Agreement to the effect that exhibits are attached, certain exhibits are not attached.
But such exhibits are to be attached as a condition of closing.

 

The parties specifically agree that
the conditions precedent to this Agreement and to Closing are of substantial importance to the parties and the failure and non-waiver
of any condition precedent shall be sufficient to terminate this Agreement and relieve each party of any obligation to Close

  

    	 	13	 

     

    

 

ARTICLE VII

GENERAL PROVISIONS

 

7.1 Indemnity. Each Party
shall hold harmless, indemnify and defend the other Party, its directors, officers, employees, representatives, attorneys, and agents
(collectively, the “Indemnified Parties”), from any material claims, liability (including environmental liabilities)
loss, damage, judgment or expense arising out of the indemnifying party’s material breach of any representation, warranty or covenant
contained in this Agreement or the Ancillary Documents, except to the extent any such claim, loss, damage, judgment, or expense is caused
by the material negligence or intentional misconduct of the Indemnified Party or Parties.

 

7.2 Survival; Remedies Cumulative The representations
warranties and covenants herein shall survive the Closing indefinitely. All remedies are cumulative, and a Party may exercise all remedies
afforded to it in any order.

 

7.3 Further Representations
and Assurances. Except as provided for in this Sale/Lease Agreement, BMI is not, and is not deemed to be, a successor or agent of
AMI, it being understood that BMI is acquiring only the Mill and the Related Equipment and it is expressly understood and agreed that
BMI has not and does not hereby assume or agree to assume any liability whatsoever of AMI, and BMI does not assume or agree to assume
any obligation of AMI under any contract, agreement, indenture, or any other document to which AMI may be a party or by which AMI is or
may be bound, or which in any manner affect AMI’s mine or any part thereof, except obligations as assignee under the Second Amendment.

 

7.4        Notices.
All communications, consents, and other notices provided for in this Mill Sale Agreement shall be in writing and shall be effective on
the date hand-delivered, sent by facsimile, or mailed by registered or certified mail, return receipt requested, postage prepaid, and
addressed as follows:

  

    	 	14	 

     

    

 

If to AMI, to:

APPLIED MINERALS, INC.

1200 Silver City Road

PO Box 432

Eureka, UT 84628

Attn: Christopher Carney

 

or to such other address as AMI
may designate to BMI, in writing.

 

If to BMI, to:

BRADY MCCASLAND, INC

16640 Chesterfield Grove Road, Suite
170

Chesterfield, MO 63005

Attn: Richard Fox

 

or to such other address as BMI
may designate to AMI, in writing.

 

7.5 Amendment; Waiver.
No supplement, modification or amendment of this Agreement shall be binding unless executed in writing by all Parties. No waiver of any
of the provisions of this Agreement shall be deemed, or shall constitute, a waiver of any other provision, whether or not similar, nor
shall any waiver constitute a continuing waiver. No waiver shall be binding unless executed, in writing, by the Party making the waiver.

 

7.6       Binding
Nature. This Mill Sale Agreement shall be binding upon and shall inure to the benefit of the Parties to it and their respective successors
and assigns

 

7.7       Invalidity.
In the event that any provision of this Sale/Lease Agreement shall be held invalid and unenforceable, such provision shall be severable
from, and such invalidity and unenforceability shall not be construed to have any effect on the remaining provisions of this Sale/Lease
Agreement.

 

    	 	15	 

     

    

 

7.8       Counterparts.
This Agreement may be executed and delivered by facsimile or electric transmission, and in one or more counterparts, each of which shall
be deemed an original and all of which shall constitute one and the same instrument.

 

7.9       Governing
law. All disputes arising under this agreement shall be governed by and
interpreted in accordance with the laws of Utah without regard to principles of conflict
of laws. The parties to this agreement will submit all disputes arising under this agreement to arbitration in St.
Louis, Missouri, before a single arbitrator of the American Arbitration Association (“AAA”). The
arbitrator shall be selected by application of the rules of the AAA, or by mutual agreement of the parties.
No party to this agreement will challenge the jurisdiction or venue provisions as provided in this section. Nothing contained herein shall prevent the
party from obtaining an injunction.

 

7.10       Additional
Documents. The Parties agree from time to time to execute such additional documents as are necessary to effect the intent of the
Parties as manifested by this Agreement. 

 

    	 	16	 

     

    

 

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

  

	APPLIED MINERALS, INC.	 	Brady McCasland, Inc.
	 	 	 	 	 
	By:	 	 	By:	 
	 	 	 	 	 
	Name:	 	 	Name:	 
	 	 	 	 	 
	Title:	 	 	Title:	 

 

    	 	17

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