Document:

Exhibit 10.2

 

THE SECURITY REPRESENTED HEREBY HAS NOT BEEN
REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR THE APPLICABLE SECURITIES
LAWS OF ANY STATE OF THE UNITED STATES. THE HOLDER HEREOF, BY PURCHASING SUCH SECURITY, AGREES FOR THE BENEFIT OF THE COMPANY THAT SUCH
SECURITY MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED, DIRECTLY OR INDIRECTLY, EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION
STATEMENT UNDER THE SECURITIES ACT OR PURSUANT TO AN AVAILABLE EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS
OF THE SECURITIES ACT AND, IN EACH CASE, IN ACCORDANCE WITH APPLICABLE STATE SECURITIES LAWS AND, IF REQUESTED BY THE COMPANY, THE SELLER
FURNISHES TO THE COMPANY AN OPINION OF COUNSEL OF RECOGNIZED STANDING IN FORM AND SUBSTANCE REASONABLY SATISFACTORY TO THE COMPANY TO
SUCH EFFECT.

 

UNLESS PERMITTED UNDER SECURITIES LEGISLATION,
THE HOLDER OF THIS SECURITY MUST NOT TRADE THE SECURITY BEFORE JANUARY 14, 2023.

 

	$22,232,560.80	September 13, 2022

 

AUGUSTA GOLD CORP.

SECURED PROMISSORY NOTE

 

For
value received, Augusta Gold Corp., a Delaware corporation (the “Company”), promises to pay to Augusta Investments
Inc. or its assigns (the “Lender”), the principal sum of $22,232,560.80, together with all accrued and unpaid interest
thereon as set forth below.

 

This Note shall rank senior
to all other notes of the Company with preference and priority in all payments on account of principal and interest. All capitalized terms
not defined and used herein shall have the meaning as defined in the Secured Promissory Note Purchase Agreement dated September 13, 2022
(the “Purchase Agreement”).

 

The Purchase Agreement, this
Note issued pursuant thereto, the Security Agreement (as defined in the Purchase Agreement) and the Deeds of Trust (as defined in the
Purchase Agreement) are collectively referred to herein as the “Loan Documents.” The obligations under this Note are
secured by the Security Agreement and the Deeds of Trust. As used herein, “Business Day” means a day other than a Saturday,
Sunday or other day on which commercial banks in New York City are authorized or required by law to close.

 

1.       Principal and Interest.
The entire unpaid balance of principal and all accrued and unpaid interest shall be due and payable on the Maturity Date (the “Term”).
The “Maturity Date” shall be the earlier of (i) September 13, 2023 and (ii) the date
that is one Business Day following the date on which the Company closes its next financing transaction or the last in a series of financing
transactions where the cumulative, aggregate net proceeds of such financing or series of financings are sufficient to pay the obligations
under this Note. During the Term, interest on the unpaid principal balance of this Note shall accrue at the Prime Plus Rate (as defined
below). Interest will be calculated per each calendar month (pro rated for the portion of the first calendar month in which this Note
is issued and for any portion of a month in which the Maturity Date occurs from the beginning of such month through and including the
Maturity Date) to be calculated in arrears on the first day of each calendar month for the preceding calendar month or on the Maturity
Date (the “Interest Calculation Date”). All computations of interest at the Prime
Plus Rate shall be made on the basis of a year of 365 days for the actual number of days elapsed in each calendar month for which interest
is being calculated. As used herein, on each Interest Calculation Date, the “Prime Plus Rate” will mean (a) a rate which is
three percent (3%) above the annual rate of interest published in The Wall Street Journal as the “Prime Rate (base rate on corporate
loans posted by at least 75% of the nation’s 30 largest banks)” on the Interest Calculation Date or if such publication or
reference is no longer published, (b) such other comparable interest rate index selected by mutual agreement of the Company and the Lender
that is readily available to the public and verifiable by the Company and the Lender but is beyond the control of either party (adjusted
from time to time to reflect any changes in such rate determined hereunder) or (c) the maximum rate from time to time permitted by applicable
law. Notwithstanding any provision to the contrary herein, in no event shall the applicable interest rate at any time exceed the maximum
interest rate allowed under applicable law.

 

     

     

    

 

2.       Payment. The Company may prepay this Note in whole or in part at any time. All payments of interest
and principal shall be in lawful money of the United States of America no later than 12:00 PM New York Time on the date on which such
payment is due. All payments shall be applied first to costs of collection, if any, then to accrued and unpaid interest, and thereafter
to principal. Payment of principal and interest hereunder shall be made by check delivered to the Lender at the address furnished to the
Company for that purpose or by wire transfer of immediately available funds to an account designated in writing by the Lender to the Company.
Whenever any payment to be made hereunder shall be due on a day that is not a Business Day, such payment shall be made on the next succeeding
Business Day and such extension will be taken into account in calculating the amount of interest payable under this Note. 

 

Notwithstanding
the foregoing, in the event of (a) any liquidation, dissolution or winding up of the Company, whether voluntary or involuntary, (b) any
consolidation, merger or sale of all or substantially all of the assets of the Company, or (c) any transfer of more than fifty percent
(50%) of the voting power of the Company, in each case prior to the Maturity Date, other than involving a transaction with a person who
controls, is controlled by or is under common control with the Company, the Lender shall be entitled to receive in cash upon such event
the principal amount plus the amount of any interest accrued on this Note through to the date of such event, such payment to be made no
later than the Business Day immediately following the consummation of such event.

 

3.       Covenants. Until
all amounts in this Note have been paid in full, the Company:

 

(a)       shall comply with the covenants of the Company set forth in Section 5 of the Purchase Agreement and Section 5 of the Security Agreement;

 

(b)       shall pay, discharge or otherwise satisfy at or before maturity or before they become delinquent, as the case may be, all its material
obligations of whatever nature, except where the amount or validity thereof is currently being contested in good faith by appropriate
proceedings, and reserves in conformity with GAAP with respect thereto have been provided on its books;

 

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(c)        shall as soon as possible and in any event within two (2) Business Days after it becomes aware that an Event of Default has occurred,
notify the Lender in writing of the nature and extent of such Event of Default and the action, if any, it has taken or proposes to take
with respect to such Event of Default;

 

(d)        shall at the Company’s expense, take all action either necessary or as reasonably requested by the Lender to ensure that
the obligations to pay principal, interest and all other amounts under this Note continue to be secured by substantially all of the assets
of the Company and its subsidiaries, including: (i) upon the formation or acquisition of any new direct or indirect wholly owned subsidiary
by the Company or any Subsidiary, within thirty (30) days after such formation or acquisition, or such longer period as Lender may agree
in writing in its discretion, notify Lender thereof and cause each such new subsidiary to duly execute and deliver to the Lender joinders
to the Security Agreement as Guarantors and duly execute and deliver such other security agreements and documents, as reasonably requested
by and in form and substance reasonably satisfactory to Lender, in each case granting liens on all assets of such new subsidiary, (ii)
cause each such new subsidiary (and the parent of each such new subsidiary that is a Guarantor) to deliver any and all certificates representing
equity interests (to the extent certificated) and intercompany notes (to the extent certificated), accompanied by undated stock powers
or other appropriate instruments of transfer executed in blank, (iii) take and cause such new subsidiary and each direct or indirect parent
of such subsidiary to take whatever action (including the filing of Uniform Commercial Code financing statements and intellectual property
security agreements, and delivery of stock and membership interest certificates) as may be necessary in the reasonable opinion of the
Lender to vest in the Lender valid and perfected liens on all assets of such subsidiary, and (iv) upon the request of the Lender, promptly
execute and deliver such further instruments and do or cause to be done such further acts as may be necessary or advisable to carry out
the intent and purposes of this Note, the Security Agreement and the Deeds of Trust;

 

(e)        shall not incur, create, assume or suffer to exist any lien on any of its property or assets, whether now owned or hereinafter
acquired except for (each a “Permitted Lien”) (a) liens for taxes not yet due or which are being contested in good
faith by appropriate proceedings; (b) non-consensual liens arising by operation of law, arising in the ordinary course of business, and
for amounts which are not overdue for a period of more than 30 days or that are being contested in good faith by appropriate proceedings;
(c) liens on the Company’s Reward Gold Project in favor of Waterton (such liens to be removed upon payment of the Second Payment
and Deferred Payment under the CR Reward Agreement) and (d) liens created pursuant to the Security Agreement and the Deeds of Trust;

 

(f)         shall not enter into any business, directly or indirectly, except for those businesses in which the Borrower is engaged on the
date of this Note or that are reasonably related thereto;

 

(g)        shall not permit the equity interests of any subsidiary of the Company to be owned by any person other than the Company or a wholly-owned
subsidiary of the Company;

 

(h)        shall not use the proceeds of this Note for any other purpose other than those set forth in Section 3.8 of the Purchase Agreement;

 

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4.            Default. The following events shall be considered “Events of Default”:

 

(a)      the Company shall default in the payment of any part of the principal or unpaid accrued interest on this Note for more than five
(5) days after the Maturity Date or at a date fixed by acceleration or otherwise;

 

(b)      the Company shall fail to file the Deeds of Trust in accordance with the Purchase Agreement and such failure continues for more
than 10 days or the Company shall fail to maintain perfected liens on all its assets in accordance with the Loan Documents and such failure
continues for more than 30 days; 

 

(c)      any representation or warranty made or deemed made by the Company to the Lender herein, in the Purchase Agreement or in the Security
Agreement is incorrect in any material respect on the date as of which such representation or warranty was made or deemed made;

 

(d)      the Company fails to observe or perform (a) any covenant, condition or agreement contained in Section 3 or (b) any other covenant,
obligation, condition or agreement contained in the Loan Documents and such failure continues for 30 days;

 

(e)      the Company fails to pay when due any of its material debts (other than debts arising under this Note) or any interest or premium
thereon when due (whether by scheduled maturity, acceleration, demand or otherwise) and such failure continues after the applicable grace
period, if any, specified in the agreement or instrument relating to such debt;

 

(f)       one or more judgments or decrees in an amount exceeding in the aggregate $1,000,000 shall be entered against the Company or its
subsidiaries and such judgments or decrees shall not have been vacated, discharged, stayed or bonded pending appeal within 30 days from
the entry thereof;

 

(g)      the Company shall make an assignment for the benefit of creditors, or shall admit in writing its inability to pay its debts as
they become due, or shall file a voluntary petition for bankruptcy, or shall file any petition or answer seeking for itself any reorganization,
arrangement, composition, readjustment, dissolution or similar relief under any present or future statute, law or regulation, or shall
file any answer admitting the material allegations of a petition filed against the Company in any such proceeding, or shall seek or consent
to or acquiesce in the appointment of any trustee, receiver or liquidator of the Company, or of all or any substantial part of the properties
of the Company, or the Company or its respective directors or majority stockholders shall take any action looking to the dissolution or
liquidation of the Company; or

 

(h)      within sixty (60) days after the commencement of any proceeding against the Company seeking any bankruptcy reorganization, arrangement,
composition, readjustment, liquidation, dissolution or similar relief under any present or future statute, law or regulation, such proceeding
shall not have been dismissed, or within sixty (60) days after the appointment without the consent or acquiescence of the Company of any
trustee, receiver or liquidator of the Company or of all or any substantial part of the properties of the Company, such appointment shall
not have been vacated.

 

5.           Remedies. Upon the occurrence of an Event of Default, at the option and upon the declaration
of the Lender, the entire unpaid principal and accrued and unpaid interest on the Notes shall, without presentment, demand, protest, or
notice of any kind, all of which are hereby expressly waived, be forthwith due and payable, and the Lender may, immediately and without
expiration of any period of grace, enforce payment of all amounts due and owing under the Notes and exercise any and all other remedies
granted to them under the Loan Documents, at law, in equity or otherwise.

 

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6.             Waiver. The Company hereby waives demand, notice, presentment, protest and notice of dishonor.
No failure to exercise and no delay in exercising on the part of the Lender, of any right, remedy, power or privilege hereunder shall
operate as a waiver thereof; nor shall any single or partial exercise of any right, remedy, power or privilege hereunder preclude any
other or further exercise thereof or the exercise of any other right, remedy, power or privilege. The rights, remedies, powers and privileges
herein provided are cumulative and not exclusive of any rights, remedies, powers and privileges provided by law.

 

7.             Costs and Fees. The Company agrees to pay the Lender’s reasonable costs in collecting and
enforcing this Note upon and during the continuance of any Event of Default, including reasonable attorneys’ fees.

 

8.             Security for Obligations. The Company’s obligations as set forth in and represented by
this Note are secured by a pledge of certain assets of the Company in accordance with the terms of a Security Agreement and Deeds of Trust.
Upon an Event of Default, the Lender shall have the right to exercise the remedies referenced therein.

 

9.             Amendments and Waivers; Resolutions of Disputes; Notice. The amendment or waiver of any terms
of this Note, the resolution of any controversy or claim arising out of or relating to this Note and any provision of notice shall be
conducted pursuant to the terms of the Purchase Agreement.

 

10.           Notices. All
notices under this Note shall be given pursuant to the provisions of Section 7.5 of the Purchase Agreement.

 

11.           Assignment.
Neither party may assign or transfer this Note without the express written consent of the other party; provided however, the Lender may
assign or transfer this Note to any affiliated entity of the Lender without the prior written consent of the Company. This Note shall
inure to the benefit of, and be binding upon, the parties and their permitted assigns.

 

12.           USA PATRIOT Act. The
Company hereby notifies the Lender that pursuant to the requirements of the USA PATRIOT Act, it is required to obtain, verify, and record
information that identifies the Lender, which information includes the name of the Lender and other information that will allow the Company
to identify the Lender in accordance with the US PATRIOT Act, and the Lender agrees to provide such information from time to time to the
Company.

 

13.           Interpretation. For
purposes of this Note (a) the words “include,” “includes” and “including” shall be deemed to be followed
by the words “without limitation”; (b) the word “or” is not exclusive; and (c) the words “herein,”
 “hereof,” “hereby,” “hereto” and “hereunder” refer to this Note as a whole. The definitions
given for any defined terms in this Note shall apply equally to both the singular and plural forms of the terms defined. Whenever the
context may require, any pronoun shall include the corresponding masculine, feminine and neuter forms. Unless the context otherwise requires,
references herein: (y) to an agreement, instrument or other document means such agreement, instrument or other document as amended, supplemented
and modified from time to time to the extent permitted by the provisions thereof; and (z) to a statute means such statute as amended from
time to time and includes any successor legislation thereto and any regulations promulgated thereunder. This Note shall be construed without
regard to any presumption or rule requiring construction or interpretation against the party drafting an instrument or causing any instrument
to be drafted.

 

14.           Miscellaneous. This Note shall be governed by and construed under the laws of the State of Delaware.
FURTHER, BOTH THE COMPANY AND THE LENDER HEREBY WAIVE TRIAL BY JURY IN ANY ACTION TO ENFORCE THIS NOTE.

 

[Signature Page Follows]

 

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IN WITNESS WHEREOF, the Company has executed
this Note as of the date set forth above.

 

	 	AUGUSTA GOLD CORP.
	 	 	 
	 	 	 
	 	By:	 /s/ Purni Parikh
	 	Name:  	 Purni Parikh
	 	Its:  	 SVP, Corporate Affairs

 

 

    Signature Page to Augusta Gold Corp. Secured Promissory NoteExhibit 10.3

 

GUARANTY AND SECURITY AGREEMENT

 

This
Guaranty and Security Agreement, dated as of September 13, 2022 (as amended, restated, supplemented or otherwise modified from
time to time in accordance with the provisions hereof, this “Security Agreement”), made by and among Augusta Gold Corp.,
a Delaware corporation, (the “Company”), Bullfrog Mines LLC, a Delaware limited liability company (“Bullfrog”),
CR Reward LLC, a Nevada limited liability company (“Reward”), Rocky Mountain Minerals Corp., a Nevada corporation (“RMMC”),
Standard Gold Corp., a Nevada (“Standard”), and Augusta Gold (BC) Corp. (“Augusta BC”, together
with the Company, Bullfrog, Reward, RMMC, and Standard, the “Grantors”)(each of Bullfrog, Reward, RMMC, Standard and
Augusta BC, a “Guarantor”), Augusta Investments Inc. (the “Lender”) and such other parties as may
become Secured Parties from time to time party hereto (each of the Lender and such additional parties, a “Secured Party”
and collectively, the “Secured Party”, as the context may require).

 

RECITALS

 

WHEREAS, pursuant to
that certain Secured Promissory Note Purchase Agreement dated as of September 13, 2022 (as amended, restated, supplemented, or otherwise
modified from time to time, the “Purchase Agreement”), among the Company, as issuer, and Lender, as purchaser, the
Company has agreed to issue and sell, and Lender has agreed to purchase, a Secured Promissory Note upon the terms and subject to the conditions
set forth therein (the “Note”);

 

WHEREAS, this Security
Agreement is given by the Grantors in favor of the Secured Parties to secure the payment and performance of all of the Secured Obligations
(as defined below); and

 

WHEREAS, it is a condition
to the execution and delivery of the Purchase Agreement and to the obligations of the Lender to purchase the Note from and after the date
of this Security Agreement that the Grantors execute and deliver this Agreement.

 

NOW, THEREFORE, in
consideration of the mutual covenants, terms and conditions set forth herein, and for other good and valuable consideration, the receipt
and sufficiency of which are hereby acknowledged, the parties agree as follows:

 

1.        Definitions.

 

(a)        Capitalized terms used but not otherwise defined herein shall have the meanings assigned to such terms in the Purchase Agreement.

 

(b)        Unless otherwise specified herein, all references to Sections and Schedules herein are to Sections and Schedules of this Security
Agreement.

 

(c)        Unless otherwise defined herein, terms used herein that are defined in the UCC shall have the meanings assigned to them in the
UCC. However, if a term is defined in Article 9 of the UCC differently than in another Article of the UCC, the term has the meaning specified
in Article 9.

 

(d)        For purposes of this Agreement, the following terms shall have the following meanings:

 

“Collateral”
has the meaning set forth in Section 2.

 

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“Default”
shall mean any condition or event which with the giving of notice or lapse of time or both would, unless cured or waived, become an Event
of Default.

 

“Event
of Default” has the meaning set forth in the Note, as applicable.

 

“Excluded
Property” shall mean any (i) general intangible, lease, license, contract or agreement to which a Grantor is a party, and any
of its rights or interests thereunder, only and solely to the extent that a security interest therein is prohibited by or in violation
of (x) any applicable law, or (y) a term, provision or condition of any such general intangible, lease, license, contract or agreement
(unless in each case, such applicable law, term, provision or condition would be rendered ineffective with respect to the creation of
such security interest pursuant to Sections 9-406, 9-407, 9-408 or 9-409 of the UCC (or any successor provision or provisions) of any
relevant jurisdiction or any other applicable law or principles of equity), (ii) fixed or capital assets (including equipment) owned by
a Grantor that is subject to a purchase money lien or a capital lease obligation, if (but only to the extent that and only for so long
as such purchase money indebtedness or capital lease restricts the granting of a lien therein to Secured Party) the grant of a security
interest therein would constitute a violation of a valid and enforceable restriction in the related purchase money or capital lease documentation
(unless any required consents shall have been obtained), and (iii) monies, checks, securities or other items on deposit or otherwise held
in deposit accounts or trust accounts specifically and exclusively used for payroll, payroll taxes, deferred compensation and other employee
wage and benefit payments to or for the direct benefit of a Grantor’s employees; provided, however, that the foregoing shall cease
to be treated as “Excluded Property” (and shall constitute Collateral) immediately at such time as the contractual or legal
prohibition shall no longer be applicable and to the extent severable, such security interest shall attach immediately to any portion
of such general intangible, lease, license, contract or agreement not subject to the prohibitions specified in (x) or (y) above, provided,
that Excluded Property shall not include any Proceeds (to the extent such Proceeds are not Excluded Property) of any such general intangible,
lease, license, contract, property, equipment or agreement or any goodwill of a Grantor’s business associated therewith or attributable
thereto.

 

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“Proceeds”
means “proceeds” as such term is defined in Section 9-102 of the UCC and, in any event, shall include, without limitation,
all dividends or other income from the Collateral, collections thereon or distributions with respect thereto.

 

“Secured
Obligations” has the meaning set forth in Section 3.

 

“UCC”
means the Uniform Commercial Code as in effect from time to time in the State of Texas or, when the laws of any other state govern the
method or manner of the perfection or enforcement of any security interest in any of the Collateral, the Uniform Commercial Code as in
effect from time to time in such state.

 

2.       Grant of Security Interest. Each Grantor hereby grants to the Secured Party a first priority security interest in all of the
following property, whether now owned or at any time hereafter acquired by such Grantor or in which such Grantor now has or at any time
in the future may acquire any right, title or interest, wherever located (collectively, the “Collateral”), as collateral
security for the prompt and complete payment and performance when due (whether at the stated maturity, by acceleration or otherwise) of
its Secured Obligations:

 

(a)        all Accounts;

 

(b)        all Chattel Paper;

 

(c)        all Contracts;

 

(d)        all Deposit Accounts and all moneys;

 

(e)        all Documents;

 

(f)         all Equipment;

 

(g)        all General Intangibles;

 

(h)        all Instruments;

 

(i)         all Intellectual Property;

 

(j)         all Inventory;

 

(k)        all Investment Property;

 

(l)         all Letter-of-Credit Rights;

 

(m)       all Farm Products;

 

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(n)        all Goods and other property not otherwise described above (except for any property specifically excluded from any defined term
used in any clause of this section above);

 

(o)        all books and records pertaining to the Collateral;

 

(p)        all Commercial Tort Claims; and

 

(q)        to the extent not otherwise included, all Proceeds, Supporting Obligations and products of any and all of the foregoing and all
collateral security and guarantees given by any person with respect to any of the foregoing.

 

Notwithstanding the foregoing,
 “Collateral” shall not include any Excluded Property.

 

3.        Secured Obligations. The Collateral secures the due and prompt payment and performance of:

 

(a)        the obligations of such Grantor from time to time arising under the Purchase Agreement, the Note, this Security Agreement, any
other Loan Documents or otherwise with respect to the due and prompt payment of (i) the principal of and interest on the Note (including
interest accruing during the pendency of any bankruptcy, insolvency, receivership or other similar proceeding, regardless of whether allowed
or allowable in such proceeding), when and as due, whether at maturity, by acceleration, upon one or more dates set for prepayment or
otherwise and (ii) all other monetary obligations, including fees, costs, attorneys’ fees and disbursements, reimbursement obligations,
contract causes of action, expenses and indemnities, whether primary, secondary, direct or indirect, absolute or contingent, due or to
become due, now existing or hereafter arising, fixed or otherwise (including monetary obligations incurred during the pendency of any
bankruptcy, insolvency, receivership or other similar proceeding, regardless of whether allowed or allowable in such proceeding), of such
Grantor under or in respect of the Purchase Agreement, the Note, this Security Agreement, or any other Loan Documents; and

 

(b)        all other covenants, duties, debts, obligations and liabilities of any kind of such Grantor under or in respect of the Purchase
Agreement, the Note, this Security Agreement, or any other Loan Documents or any other document made, delivered or given in connection
with any of the foregoing, in each case whether evidenced by a note or other writing, whether allowed in any bankruptcy, insolvency, receivership
or other similar proceeding, whether arising from an extension of credit, issuance of a letter of credit, acceptance, loan, guaranty,
indemnification or otherwise, and whether primary, secondary, direct or indirect, absolute or contingent, due or to become due, now existing
or hereafter arising, fixed or otherwise (all such obligations, covenants, duties, debts, liabilities, sums and expenses set forth in
this Section 3 being herein collectively called the “Secured Obligations”).

 

4.         Perfection of Security Interest and Further Assurances.

 

(a)        Each Grantor hereby irrevocably authorizes the Secured Party at any time and from time to time to file in any relevant jurisdiction
any financing statements and amendments thereto that contain the information required by Article 9 of the UCC of each applicable jurisdiction
for the filing of any financing statement or amendment relating to the Collateral, including any financing or continuation statements
or other documents for the purpose of perfecting, confirming, continuing, enforcing or protecting the first priority security interest
granted by the Grantor hereunder, without the signature of the Grantor where permitted by law, including the filing of a financing statement
describing the Collateral as all assets now owned or hereafter acquired by the Grantor, or words of similar effect. Each Grantor agrees
to provide all information required by the Secured Party pursuant to this Section within a reasonable amount of time to the Secured Party
upon request.

 

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(b)        Each Grantor agrees that at any time and from time to time, at the expense of such Grantor, such Grantor will: (i) upon Secured
Party’s request, take all reasonably necessary action in order to grant to Secured Party a first priority security interest in Grantor’s
real estate; (ii) upon Grantor’s filing of any commercial tort claim, promptly notify the Secured Party thereof; and (iii) within
a reasonable amount of time, execute and deliver all further instruments and documents, obtain such agreements from third parties, and
take all further action, that the Secured Party may reasonably request, in order to create and/or maintain the validity, perfection or
priority of and protect any security interest granted or purported to be granted hereby or to enable the Secured Party to exercise and
enforce its rights and remedies hereunder or under any other agreement with respect to any Collateral.

 

5.          Secured Party Appointed Attorney-in-Fact. Each Grantor hereby appoints the Secured Party the Grantor’s attorney-in-fact,
with full authority in the place and stead of the Grantor and in the name of the Grantor or otherwise, from time to time during the continuance
of an Event of Default in the Secured Party’s discretion to take any action and to execute any instrument which the Secured Party
may deem necessary or advisable to accomplish the purposes of this Security Agreement (but the Secured Party shall not be obligated to
and shall have no liability to such Grantor or any third party for failure to do so or take action). This appointment, being coupled with
an interest, shall be irrevocable. Each Grantor hereby ratifies all that said attorneys shall lawfully do or cause to be done by virtue
hereof.

 

6.          Secured Party May Perform. If a Grantor fails to perform any obligation contained in this Agreement, the Secured Party may
itself perform, or cause performance of, such obligation (solely to the extent necessary to preserve the existence of its security interest
in the Collateral), and the expenses of the Secured Party incurred in connection therewith shall be payable by such Grantor; provided
that the Secured Party shall not be required to perform or discharge any obligation of a Grantor.

 

7.          Reasonable Care. The Secured Party shall have no duty with respect to the care and preservation of the Collateral beyond the
exercise of reasonable care. The Secured Party shall be deemed to have exercised reasonable care in the custody and preservation of the
Collateral in its possession if the Collateral is accorded treatment substantially equal to that which the Secured Party accords its own
property, it being understood that the Secured Party shall not have any responsibility for (a) ascertaining or taking action with respect
to any claims, the nature or sufficiency of any payment or performance by any party under or pursuant to any agreement relating to the
Collateral or other matters relative to any Collateral, whether or not the Secured Party has or is deemed to have knowledge of such matters,
or (b) taking any necessary steps to preserve rights against any parties with respect to any Collateral. Nothing set forth in this Agreement,
nor the exercise by the Secured Party of any of the rights and remedies hereunder, shall relieve a Grantor from the performance of any
obligation on a Grantor’s part to be performed or observed in respect of any of the Collateral.

 

8.          Remedies Upon Default.

 

(a)       If any Event of Default shall have occurred and be continuing, the Secured Party, without any other notice to or demand upon the
Grantors, may assert all rights and remedies of a secured party under the UCC or other applicable law, including, without limitation,
the right to take possession of, hold, collect, sell, lease, deliver, grant options to purchase or otherwise retain, liquidate or dispose
of all or any portion of the Collateral. If notice prior to disposition of the Collateral or any portion thereof is necessary under applicable
law, written notice mailed to the Grantor at its notice address as provided in Section 12 hereof ten days prior to the date of such disposition
shall constitute reasonable notice, but notice given in any other reasonable manner shall be sufficient. So long as the sale of the Collateral
is made in a commercially reasonable manner, the Secured Party may sell such Collateral on such terms and to such purchaser(s) as the
Secured Party in its absolute discretion may choose, without assuming any credit risk and without any obligation to advertise or give
notice of any kind other than that necessary under applicable law. Without precluding any other methods of sale, the sale of the Collateral
or any portion thereof shall have been made in a commercially reasonable manner if conducted in conformity with reasonable commercial
practices of creditors disposing of similar property. To the extent permitted by applicable law, each Grantor waives all claims, damages
and demands it may acquire against the Secured Party arising out of the exercise by it of any rights hereunder. Each Grantor hereby waives
and releases to the fullest extent permitted by law any right or equity of redemption with respect to the Collateral, whether before or
after sale hereunder, and all rights, if any, of marshalling the Collateral and any other security for the Secured Obligations or otherwise.
At any such sale, unless prohibited by applicable law, the Secured Party or any custodian may bid for and purchase all or any part of
the Collateral so sold free from any such right or equity of redemption. Neither the Secured Party nor any custodian shall be liable for
failure to collect or realize upon any or all of the Collateral or for any delay in so doing, nor shall it be under any obligation to
take any action whatsoever with regard thereto. The Secured Party shall not be obligated to clean-up or otherwise prepare the Collateral
for sale.

 

    	 	5	 

     

    

 

(b)        If the Secured Party shall determine to exercise its rights to sell all or any of the Collateral pursuant to this Section, each
Grantor agrees that, upon request of the Secured Party, such Grantor will, at its own expense, do or cause to be done all such acts and
things as may be necessary to make such sale of the Collateral or any part thereof valid and binding and in compliance with applicable
law.

 

9.          No Waiver and Cumulative Remedies. The Secured Party shall not by any act (except by a written instrument pursuant to Section
11), delay, indulgence, omission or otherwise be deemed to have waived any right or remedy hereunder or to have acquiesced in any Event
of Default. All rights and remedies herein provided are cumulative and are not exclusive of any rights or remedies provided by law.

 

10.        Security Interest Absolute. Each Grantor hereby waives demand, notice, protest, notice of acceptance of this Agreement, notice
of loans made, credit extended, Collateral received or delivered or other action taken in reliance hereon and all other demands and notices
of any description. All rights of the Secured Party and liens and security interests hereunder, and all Secured Obligations of each Grantor
hereunder, shall be absolute and unconditional irrespective of:

 

(a)         any illegality or lack of validity or enforceability of any Secured Obligation or any related agreement or instrument;

 

(b)         any change in the time, place or manner of payment of, or in any other term of, the Secured Obligations, or any rescission, waiver,
amendment or other modification of the Purchase Agreement, this Security Agreement, the Note, the other Loan Documents or any other agreement,
including any increase in the Secured Obligations resulting from any extension of additional credit or otherwise;

 

(c)         any taking, exchange, substitution, release, impairment or non-perfection of any Collateral or any other collateral, or any taking,
release, impairment, amendment, waiver or other modification of any guaranty, for all or any of the Secured Obligations;

 

    	 	6	 

     

    

 

(d)         any manner of sale, disposition or application of proceeds of any Collateral or any other collateral or other assets to all or
part of the Secured Obligations;

 

(e)         any default, failure or delay, willful or otherwise, in the performance of the Secured Obligations;

 

(f)          any defense, set-off or counterclaim (other than a defense of payment or performance) that may at any time be available to, or
be asserted by, the Grantor against the Secured Party; or

 

(g)         any other circumstance (including, without limitation, any statute of limitations) or manner of administering the Note or any existence
of or reliance on any representation by the Secured Party that might vary the risk of a Grantor or otherwise operate as a defense available
to, or a legal or equitable discharge of, a Grantor or any other grantor, guarantor or surety.

 

11.       Guarantee.

 

(a)      To induce the Lender to purchase the Note, each Guarantor hereby, jointly and severally, absolutely, unconditionally and irrevocably,
guarantees, as primary obligor and not merely as surety, the full and punctual payment when due, whether at stated maturity or earlier,
by reason of acceleration, mandatory prepayment or otherwise in accordance with any Loan Document, of all the Secured Obligations of the
Company and the other Guarantors whether existing on the date hereof or hereinafter incurred or created (the “Guarantor Obligations”).
The Guarantor Obligations shall include, without limitation, interest accruing at the then applicable rate provided in the Note after
the maturity thereof and interest accruing at the then applicable rate provided in the Note after the filing of any petition in bankruptcy,
or the commencement of any insolvency, reorganization or like proceeding, relating to the Company, whether or not a claim for post-filing
or post-petition interest is allowed in such proceeding, whether direct or indirect, absolute or contingent, due or to become due, or
now existing or hereafter incurred, which may arise under, out of, or in connection with the Purchase Agreement, the Note, this Security
Agreement or any other Loan Documents, in each case whether on account of principal, interest, reimbursement obligations, fees, indemnities,
costs, expenses or otherwise (including all fees and disbursements of counsel to the Lender that are required to be paid by the Company
pursuant to the terms of any of the foregoing agreements) and all obligations and liabilities of such Guarantor that arise or may arise
under or in connection with this Agreement or any other Loan Document to which such Guarantor is a party, in each case whether on account
of guarantee obligations, reimbursement obligations, fees, indemnities, costs, expenses or otherwise (including all fees and disbursements
of counsel to the Lender that are required to be paid by such Guarantor pursuant to the terms of any such Loan Document). Each Guarantor’s
Guarantee hereunder constitutes a guarantee of payment and not of collection.

 

(b)        Any term or provision of this Security Agreement or any other Loan Document to the contrary notwithstanding, the maximum aggregate
amount for which any Guarantor shall be liable hereunder shall not exceed the maximum amount for which such Guarantor can be liable without
rendering the obligations of such Guarantor under this Guarantee or any other Loan Document, as it relates to such Guarantor, subject
to avoidance under applicable laws relating to fraudulent conveyance or fraudulent transfer (including the Uniform Fraudulent Conveyance
Act, the Uniform Fraudulent Transfer Act, the Uniform Voidable Transactions Act and Section 548 of title 11 of the United States Code
or any applicable provisions of comparable laws) (collectively, the “Fraudulent Transfer Laws”). Any analysis of the
provisions of this Guarantee for purposes of the Fraudulent Transfer Laws shall take into account the right of contribution established
in Section 11(f) hereof and, for purposes of such analysis, give effect to any discharge of intercompany debt as a result of any payment
made under this Guarantee.

 

    	 	7	 

     

    

 

(c)          Each Guarantor agrees that the Secured Obligations may at any time and from time to time exceed the amount of the liability of
such Guarantor hereunder without impairing this Guarantee or affecting the rights and remedies of any Secured Party hereunder.

 

(d)          This Guarantee shall remain in full force and effect until the Termination Date occurs.

 

(e)          No payment made by the Company, any of the Guarantors, any other guarantor or any other person or received or collected by the
Lender from the Company, any of the Guarantors, any other guarantor or any other person by virtue of any action or proceeding or any set-off
or appropriation or application at any time or from time to time in reduction of or in payment of the Secured Obligations shall be deemed
to modify, reduce, release or otherwise affect the liability of any Guarantor hereunder, and each Guarantor shall, notwithstanding any
such payment (other than any payment made by such Guarantor in respect of the Secured Obligations or any payment received or collected
from such Guarantor in respect of the Guarantor Obligations), remain liable for the Guarantor Obligations up to the maximum liability
of such Guarantor hereunder until the Termination Date occurs.

 

(f)           Each Guarantor hereby agrees that to the extent that a Guarantor shall have paid more than its proportionate share of any payment
made hereunder, such Guarantor shall be entitled to seek and receive contribution from and against any other Guarantor hereunder which
has not paid its proportionate share of such payment. Each Guarantor’s right of contribution shall be subject to the terms and conditions
of Section 11(g) hereof. The provisions of this Section shall in no respect limit the obligations and liabilities of any Guarantor to
the Lender, and each Guarantor shall remain liable to the Lender for the full amount guaranteed by such Guarantor hereunder.

 

(g)          Notwithstanding any payment made by any Guarantor hereunder or any set-off or application of funds of any Guarantor by the Lender,
no Guarantor shall be entitled to be subrogated to any of the rights of the Lender against the Company or any other Guarantor or any collateral
security or guarantee or right of offset held by the Lender for the payment of the Secured Obligations, nor shall any Guarantor seek or
be entitled to seek any contribution or reimbursement from the Company or any other Guarantor in respect of payments made by such Guarantor
under this Guarantee, until the Termination Date occurs. If any amount shall be paid to any Guarantor on account of such subrogation rights
at any time prior to the Termination Date, such amount shall be held by such Guarantor for the benefit of the Lender, segregated from
other funds of such Guarantor, and shall, forthwith upon receipt by such Guarantor, be turned over to the Lender in the exact form received
by such Guarantor (duly indorsed by such Guarantor to the Lender, if required), to be applied against the Secured Obligations, whether
matured or unmatured.

 

(h)          Each Guarantor shall remain obligated hereunder notwithstanding that, without any reservation of rights against any Guarantor and
without notice to or further assent by any Guarantor, any demand for payment of any of the Guarantor Obligations made by the Lender may
be rescinded by the Lender and any of the Guarantor Obligations continued, and the Guarantor Obligations, or the liability of any other
person upon or for any part thereof, or any collateral security or guarantee therefor or right of offset with respect thereto, may, from
time to time, in whole or in part, be renewed, extended, amended, modified, accelerated, compromised, waived, surrendered or released
by the Lender, and the Purchase Agreement and the other Loan Documents, and any other documents executed and delivered in connection therewith
may be amended, amended and restated, supplemented or otherwise modified or terminated, in whole or in part, as the Lender may deem advisable
from time to time in accordance with the Purchase Agreement, and any collateral security, guarantee or right of offset at any time held
by the Lender for the payment of the Guarantor Obligations may be sold, exchanged, waived, surrendered or released. The Lender shall not
have any obligation to protect, secure, perfect or insure any lien at any time held by it as security for the Guarantor Obligations or
for this Guarantee or any property subject thereto.

 

    	 	8	 

     

    

 

(i)           Each Guarantor waives to the fullest extent permitted by applicable law any and all notice of the creation, renewal, extension
or accrual of any of the Secured Obligations and notice of or proof of reliance by the Lender upon this Guarantee or acceptance of the
guarantee contained in this Section 11. The Secured Obligations, and any of them, shall conclusively be deemed to have been created, contracted
or incurred, or renewed, extended, amended or waived, in reliance upon this Guarantee and all dealings between the Company and any of
the Guarantors, on the one hand, and the Lender, on the other hand, likewise shall be conclusively presumed to have been had or consummated
in reliance upon this Guarantee. Each Guarantor, to the fullest extent permitted by applicable law, waives diligence, presentment, protest,
demand for payment and notice of default or nonpayment to or upon the Company or any of the Guarantors with respect to the Secured Obligations,
other than in connection with any cure periods applicable to the Company. Each Guarantor waives, to the fullest extent permitted by applicable
law, any right such Guarantor may now have or hereafter acquire to revoke, rescind, terminate or limit (except as expressly provided herein)
this Guarantee or any of its obligations hereunder. Each Guarantor understands and agrees, to the fullest extent permitted by applicable
law, that this Guarantee shall be construed as a continuing, absolute and unconditional guarantee of payment without regard to (a) the
validity or enforceability of the Purchase Agreement or any other Loan Documents, any of the Guarantor Obligations or any other collateral
security therefor or guarantee or right of offset with respect thereto at any time or from time to time held by the Lender, (b) any
defense, set-off or counterclaim (other than a defense of payment or performance) which may at any time be available to or be asserted
by the Company or any other person against the Lender, or (c) any other circumstance whatsoever (with or without notice to or knowledge
of the Company or such Guarantor) which constitutes, or might be construed to constitute, an equitable or legal discharge of the Company
with respect to any Secured Obligations, or of such Guarantor under this Guarantee, in bankruptcy or in any other instance. When making
any demand hereunder or otherwise pursuing its rights and remedies hereunder against any Guarantor, the Lender may, but shall be under
no obligation to, make a similar demand on or otherwise pursue such rights and remedies as it may have against the Company any other Guarantor
or any other person or against any collateral security or guarantee for the Guarantor Obligations or any right of offset with respect
thereto, and any failure by the Lender to make any such demand, to pursue such other rights or remedies or to collect any payments from
the Company, any other Guarantor or any other person or to realize upon any such collateral security or guarantee or to exercise any such
right of offset, or any release of the Company, any other Guarantor or any other person or any such collateral security, guarantee or
right of offset, shall not relieve any Guarantor of any obligation or liability hereunder, and shall not impair or affect the rights and
remedies, whether express, implied or available as a matter of law, of the Lender against any Guarantor. For the purposes hereof, “demand”
shall include the commencement and continuance of any legal proceedings.

 

(j)           This Guarantee shall continue to be effective, or be reinstated, as the case may be, if at any time payment, or any part thereof,
of any of the Guarantor Obligations is rescinded or must otherwise be restored or returned by the Lender upon the insolvency, bankruptcy,
dissolution, liquidation or reorganization of the Company or any Guarantor, or upon or as a result of the appointment of a receiver, intervenor
or conservator of, or trustee or similar officer for, the Company or any Guarantor or any substantial part of its property, or otherwise,
all as though such payments had not been made.

 

    	 	9	 

     

    

 

(k)          Each Guarantor hereby guarantees that payments hereunder will be paid to the Lender without set-off or counterclaim in United States
dollars in the manner for payments set forth in the Note.

 

12.        Amendments. None of the terms or provisions of this Security Agreement may be amended, modified, supplemented, terminated or
waived, and no consent to any departure by the Grantor therefrom shall be effective unless the same shall be in writing and signed by
the Secured Party and the Grantors, and then such amendment, modification, supplement, waiver or consent shall be effective only in the
specific instance and for the specific purpose for which made or given.

 

13.        Addresses For Notices. All notices and other communications provided for in this Security Agreement shall be in writing and
shall be given in the manner and become effective as set forth in the Purchase Agreement, and addressed to the respective parties at their
addresses as specified in the Purchase Agreement (with notice to any Grantor being made to the address for the Company therein) or as
to either party at such other address as shall be designated by such party in a written notice to each other party.

 

14.        Continuing Security Interest; Further Actions. This Security Agreement shall create a continuing lien on and security interest
in the Collateral and shall (a) subject to Section 14, remain in full force and effect until payment and performance in full of the Secured
Obligations (and termination of the Notes), (b) be binding upon the Grantor, its successors and assigns, and (c) inure to the benefit
of the Secured Party and its successors, transferees and assigns; provided that the Grantor may not assign or otherwise transfer any of
its rights or obligations under this Agreement without the prior written consent of the Secured Party.

 

15.        Termination; Release. On the date on which all Secured Obligations have been indefeasibly paid and performed in full in cash
(the “Termination Date”), the Secured Party will, at the request and sole expense of the Grantors, (a) duly assign,
transfer and deliver to or at the direction of the Grantors (without recourse and without any representation or warranty) such of the
Collateral as may then remain in the possession of the Secured Party, together with any monies at the time held by the Secured Party hereunder,
and (b) execute and deliver to the Grantors a proper instrument or instruments acknowledging the satisfaction and termination of this
Security Agreement.

 

16.        Governing Law. This Security Agreement shall be governed by and construed under the laws of the State of Delaware. FURTHER,
BOTH THE COMPANY AND THE LENDER HEREBY WAIVE TRIAL BY JURY IN ANY ACTION TO ENFORCE THIS NOTE.

 

17.        Counterparts. This Security Agreement and any amendments, waivers, consents or supplements hereto may be executed in counterparts
(and by different parties hereto in different counterparts), each of which shall constitute an original, but all taken together shall
constitute a single contract. Delivery of an executed counterpart of a signature page to this Agreement by facsimile or in electronic
(i.e., “pdf” or “tif”) format shall be effective as delivery of a manually executed counterpart of this Agreement.

 

18.        Integration. The Purchase Agreement, this Security Agreement, the Note and the other Loan Documents constitute the entire contract
among the parties with respect to the subject matter hereof and supersede all previous agreements and understandings, oral or written,
with respect thereto. The Recitals to this Agreement are hereby incorporated by reference and made a part of this Security Agreement for
all purposes.

 

 

    	 	10	 

     

    

 

19.        Titles and Subtitles. The titles and subtitles used in this Security Agreement are used for convenience only and are not to
be considered in construing or interpreting this Security Agreement.

 

20.        Interpretation. For purposes of this Security Agreement (a) the words “include,” “includes” and “including”
shall be deemed to be followed by the words “without limitation”; (b) the word “or” is not exclusive; and (c)
the words “herein,” “hereof,” “hereby,” “hereto” and “hereunder” refer to
this Security Agreement as a whole. The definitions given for any defined terms in this Agreement shall apply equally to both the singular
and plural forms of the terms defined. Whenever the context may require, any pronoun shall include the corresponding masculine, feminine
and neuter forms. Unless the context otherwise requires, references herein: (y) to an agreement, instrument or other document means such
agreement, instrument or other document as amended, supplemented and modified from time to time to the extent permitted by the provisions
thereof; and (z) to a statute means such statute as amended from time to time and includes any successor legislation thereto and any regulations
promulgated thereunder. This Security Agreement shall be construed without regard to any presumption or rule requiring construction or
interpretation against the party drafting an instrument or causing any instrument to be drafted.

 

21.        Assignment. No party may assign or transfer this Security Agreement without the express written consent of the other party.
This Security Agreement shall inure to the benefit of, and be binding upon, the parties and their permitted assigns.

 

 

 

[Signature Pages Follow]

 

    	 	11	 

     

    

 

IN WITNESS WHEREOF, the parties
hereto have executed this Agreement as of the date first above written.

 

 

	AUGUSTA GOLD CORP., 
	a Delaware corporation, as a Grantor
	 	 	 
	By:	 /s/ Purni Parikh	 
	Name:	 Purni Parikh	 
	Title:	 Sr. VP, Corp. Affairs & Corp. Secretary	 
	 	 	 
	BULLFROG MINES LLC, 	 
	a Delaware limited liability company, as a Guarantor and Grantor
	 	 	 
	By:	 /s/ Purni Parikh	 
	Name:	 Purni Parikh	 
	Title:	 Secretary	 
	 	 	 
	CR REWARD LLC, 
	a Nevada limited liability company, as a Guarantor and Grantor
	 	 	 
	By:	 /s/ Purni Parikh	 
	Name:	 Purni Parikh	 
	Title:	 Secretary	 
	 	 	 
	ROCKY MOUNTAIN MINERALS CORP., 
	a Nevada corporation, as a Guarantor and Grantor
	 	 	 
	By:	 /s/ Tom Ladner	 
	Name:	 Tom Ladner	 
	Title:	 Secretary	 
	 	 	 
	STANDARD GOLD CORP., 
	a Nevada corporation, as a Guarantor and Grantor
	 	 	 
	By:	 /s/ Tom Ladner 	 
	Name:	 Tom Ladner	 
	Title:	 Secretary	 
	 	 	 
	AUGUSTA GOLD (BC) CORP., 
	a British Columbia corporation, as a Guarantor Grantor
	 	 	 
	By:	 /s/ Purni Parikh	 
	Name:	 Purni Parikh	 
	Title:	 Secretary	 

 

    [Signature Page to Guaranty and Security Agreement]

     

    

 

 

 

	SECURED PARTY
	 	 	 
	AUGUSTA INVESTMENTS INC.
	 	 	 
	 	 	 
	By:	 /s/ Richard Warke	 
	Name: 	 Richard Warke	 
	Title: 	 Director	 

 

 

    [Signature Page to Guaranty and Security Agreement]

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