Document:

Filed by sedaredgar.com - Nord Resources Corp. - Exhibit 10.68

AGREEMENT TO PURCHASE ROYALTY

     This AGREEMENT TO PURCHASE
ROYALTY (“Agreement”) is made and entered into as of the 31st
day of March, 2009 (“Effective Date”) by and between NORD RESOURCES
CORPORATION, a Delaware corporation (“Producer”), and IRC NEVADA INC., a
Nevada corporation (“IRC”).

RECITALS:

     A. Producer is the owner of
certain mineral properties located in Cochise County, Arizona, consisting of
approximately 59 patented lode mining claims, 102 unpatented mining claims and
other fee lands, totaling 3,092 acres, more or less, owned or controlled by
Producer and more particularly described on Exhibit A attached hereto and
incorporated by reference (the “Property”), on which Producer is
conducting copper mining and production operations.

     B. Producer desires to sell and
IRC desires to purchase a royalty interest in net smelter returns from minerals
produced from the Property on the terms and conditions set forth in this
Agreement.

     C. The transaction by which
Producer would sell and IRC would purchase such royalty interest will be
evidenced by: (i) this Agreement, and (ii) the hereinafter described Royalty
Deed.

     NOW, THEREFORE, in consideration
of the mutual covenants contained in this Agreement, and other valuable
consideration, the receipt and sufficiency of which are hereby acknowledged by
the parties, Producer and IRC agree as follows:

	1. 	
      Definitions.

	 	 	 	 
		1.1 	
      The following terms shall have the meaning set forth in
      this Section:

	 	 	 	 
			(a) 	
      “Affiliate” shall mean any person or entity
      controlling, controlled by or under common control with a party
    hereto.

	 	 	 	 
			(b) 	
      “Closing” shall mean the consummation of the
      transactions and actions necessary to effect the creation and purchase of
      the Royalty pursuant to this agreement as more particularly described in
      Section 6.

	 	 	 	 
			(c) 	
      “Disclosure Schedule” means the disclosure
      schedule dated as of the Effective Date attached hereto as Exhibit
    B.

	 	 	 	 
			(d) 	
      “Environmental Laws” means Laws aimed at
      reclamation or restoration of the Property; abatement of pollution;
      protection of the environment; protection of wildlife, including
      endangered species; ensuring public safety from environmental hazards;
      protection of cultural or historic resources; management, storage or
      control of hazardous materials and substances; releases or threatened
      releases of pollutants, contaminants,

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      chemicals or industrial, toxic or hazardous substances as
      wastes into the environment, including without limitation, ambient air,
      surface water and groundwater; and all other Laws relating to the
      manufacturing, processing, distribution, use, treatment, storage,
      disposal, handling or transport of pollutants, contaminants, chemicals or
      industrial, toxic or hazardous substances or wastes.

	 	 	 
	 	(e) 	
      “Environmental Liabilities” means any and all
      claims, actions, causes of action, damages, losses, liabilities,
      obligations, penalties, judgments, amounts paid in settlement,
      assessments, costs, disbursements, or expenses (including, without
      limitation, attorneys' fees and costs, experts' fees and costs, and
      consultants' fees and costs) that are asserted by any person, entity or
      Governmental Authority alleging liability (including liability for
      studies, testing or investigatory costs, cleanup costs, response costs,
      removal costs, remediation costs, containment costs, restoration costs,
      corrective action costs, closure costs, reclamation costs, natural
      resource damages, property damages, personal injuries, penalties or fines)
      arising out of, based on or resulting from (i) the presence, release,
      threatened release, discharge or emission into the environment of any
      hazardous materials or substances existing or arising on, beneath or above
      the Property and/or emanating or migrating and/or threatening to emanate
      or migrate from the Property to off-site properties; (ii) physical
      disturbance of the environment other than as authorized by and in
      compliance with the Permits; or (iii) the violation or alleged violation
      of any Environmental Laws.

	 	 	 
	 	(f) 	
      “Governmental Authority” shall mean any federal,
      state or local government, district or authority having jurisdiction or
      authority to regulate or control the Property or any part of Producer’s
      operations in connection with the production and sale of
  Minerals.

	 	 	 
	 	(g) 	
      “Key Employee” shall mean any current officer of
      Producer, the current general manager or equivalent employee responsible
      for operations at the Property or any current manager of Producer
      responsible for Producer’s compliance with Environmental Laws or health
      and safety Laws.

	 	 	 
	 	(h) 	
      “Law” or “Laws” means all applicable
      federal, state and local laws, rules, ordinances, regulations, grants,
      licenses, orders, directives, judgments, decrees, and other governmental
      restrictions, including Permits, whether legislative, municipal,
      administrative or judicial in nature.

	 	 	 
	 	(i) 	
      “Minerals” shall have the meaning set forth in the
      Royalty Deed.

	 	 	 
	 	(j) 	
      “Permit” shall mean any license, permit,
      certificate or other authorization by any Governmental Authority necessary
      for Producer’s operation on the Property or in connection with the
      removal, processing or sale of Minerals
therefrom.

  2 

	 	(k) 	
      “Permitted Liens” shall have the meaning given the
      term in the Royalty Deed.

	 	 	 
	 	(l) 	
      “Royalty” shall mean the Royalty defined in the
      Royalty Deed, purchased pursuant to Sections 2 and 3, below

	 	 	 
	 	(m) 	
      “Royalty Deed” shall mean the Royalty Deed and
      Assignment of Royalty to be delivered at Closing in the form of Exhibit C
      attached hereto.

	2. 	
      Purchase and Sale of Royalty. Upon and subject to
      the terms and provisions of this Agreement, at the Closing, IRC will
      purchase from Producer and Producer will sell, convey, assign and transfer
      to IRC the Royalty in the Base Royalty Rate percentage amount, as defined
      in the Royalty Deed, of two and one-half percent (2.5%) of Net Returns, as
      also defined in the Royalty Deed, free and clear of all liens, claims,
      charges, equities or encumbrances of any kind except for any Permitted
      Liens.

	 	 
	3. 	
      Purchase Price. The “Purchase Price” for
      the Royalty shall be five million dollars ($US5,000,000.00), paid or
      payable at Closing, subject to the adjustment of Section 6.3(a).

	 	 
	4. 	
      Due Diligence, Inspection and Records. Prior to
      Closing, IRC and its agents shall have the right to enter upon the
      Property and inspect all operations thereon, review all records of
      Producer pertaining to the Property and production and sale of Minerals
      (as defined in the Royalty Deed) therefrom, verify Producer’s title to and
      interest in the Property; review all documents and records pertaining to
      reserves, Permits and recovery of Minerals from the Property and review
      Producer’s financial position and all financing and Mineral sales
      agreements related to or affecting Producer’s ability to own the Property
      and conduct operations for the mining, processing and sale of Minerals
      from the Property.

	 	4.1 	
      Property Inspection. IRC and its agents, duly
      authorized in writing, may enter upon the Property and facilities of
      Producer at the Property to inspect the same, during normal business
      hours, at such time as shall not unreasonably hinder or interrupt the
      operations and activities of Producer.

	 	 	 
	 	4.2 	
      Records Inspection. Subject to satisfaction of any
      requirements with respect to confidentiality, upon reasonable notice,
      Producer shall afford to the officers, employees, accountants, counsel and
      other representatives of IRC access, during normal business hours, during
      the period prior to the Closing, to all of the books, contracts,
      commitments and records relating to the Property, or Minerals sale
      agreements that are in Producer’s possession and shall furnish to IRC all
      other information concerning such assets that is in Producer’s possession
      as IRC reasonably requests.

	5. 	
      No Assumption of Liability. IRC is not assuming,
      by its purchase of the Royalty or otherwise, any liability, obligation or
      commitment of Producer, whether known or unknown, actual or contingent,
      now-existing or hereafter arising, and expressly disclaims, in whole or in
      part, the assumption of all such liabilities, obligations or
      commitments

  3 

related to the Property, Minerals or
the Producer (“Excluded Liabilities”). The Excluded Liabilities include,
but are not limited to, the following:

	 	(a) 	
      Any and all obligations and liabilities, including
      without limitation Environmental Liabilities, of Producer relating to or
      arising from environmental or other conditions of any portion of the
      Property or from Producer’s operations related to the Property;
  and

	 	 	 
	 	(b) 	
      Any and all obligations and liabilities of Producer to
      any lessor, contractor, customer of Producer or Governmental
    Authority.

	6. 	
      Closing.

	 	 	 	 
		6.1 	
      Time and Place. Producer and IRC shall consummate
      and close the transaction contemplated herein (“Closing”) at the
      offices of IRC on March 30, 2009, or as soon thereafter as
  possible.

	 	 	 	 
		6.2 	
      Deliverables by Producer. At the Closing, and
      conditioned upon satisfaction of the Closing conditions of Sections 11.1
      and 11.3, Producer shall deliver to IRC, in form and substance
      satisfactory to IRC:

	 	 	 	 
			(a) 	
      The Royalty Deed, duly executed and acknowledged by
      Producer; and

	 	 	 	 
			(b) 	
      Such other certificates and documents as IRC or its
      counsel may reasonably request.

	 	 	 	 
		6.3 	
      Deliverables by IRC. At the Closing, and
      conditioned upon satisfaction of the Closing conditions of Sections 11.1
      and 11.2, IRC shall deliver to Producer, in form and substance
      satisfactory to Producer:

	 	 	 	 
			(a) 	
      The Purchase Price for the Royalty, less IRC’s outside
      attorney’s fees and the costs for conducting its due diligence examination
      and negotiating and closing this transaction, (which fees and costs shall
      not exceed fifty thousand dollars ($US 50,000) as a deduction from the
      Purchase Price), in the form of an electronic funds transfer to such
      account and at such location as Producer may direct, cashier’s check or
      other current funds; and

	 	 	 	 
			(b) 	
      Such other certificates and documents as Producer or its
      counsel may reasonably request.

	7. 	
      Warranties and Representations of IRC. IRC
      warrants and represents to Producer for the express purpose of inducing
      Producer to enter into this Agreement, and to otherwise complete all of
      the transactions contemplated hereby that as of the date of this Agreement
      and as of the date of Closing, as follows:

	 	 	 
		7.1 	
      Organization. IRC is a duly organized, validly
      existing corporation in good standing under the Laws of the State of
      Nevada and has all requisite power and

  4 

	 		
      authority to conduct its business and to own its
      property, as now conducted or owned, and as contemplated by this
      Agreement.

	 	 	 
	 	7.2 	
      Authorization. All required corporate actions and
      proceedings have been duly taken so as to authorize the execution and
      delivery by IRC of this Agreement and all other documents or instruments
      to be executed and delivered hereunder.

	 	 	 
	 	7.3 	
      Valid and Binding. This Agreement constitutes the
      legal, valid and binding obligation of IRC enforceable in accordance with
      its terms.

	 	 	 
	 	7.4 	
      No Violations. The consummation of the
      transactions contemplated by this Agreement and performance of the
      obligations of IRC hereunder does not constitute a violation of, nor
      conflict with, any Law, contract, agreement or organizational document to
      which IRC is a party or by which it or its property is or may be
    bound.

	 	 	 
	 	7.5 	
      No Litigation. There is no litigation now pending,
      or to the best of IRC’s knowledge threatened, against IRC which if
      adversely decided could materially impair the ability of IRC to purchase,
      own and receive the Royalty hereunder.

	 	 	 
	 	7.6 	
      No Consents. IRC need not give any notice to, make
      any filings with, or obtain any authorization, consent or approval of any
      person or governmental agency in order to consummate the transactions
      contemplated by this Agreement.

	 	 	 
	 	7.7 	
      Brokers Fees. IRC does not have any liability to
      pay any fees or commissions to any broker, finder, or agent with respect
      to the transactions contemplated by this Agreement for which Producer
      could become liable or obligated.

	 	 	 
	 	7.8 	
      Foreign Person. IRC is not a “foreign person”, as
      such term is defined in Section 1445 of the Internal Revenue
  Code.

	8. 	
      Warranties and Representations of Producer.
      Producer warrants and represents to IRC for the express purpose of
      inducing IRC to enter into this Agreement, and to otherwise complete all
      of the transactions contemplated hereby that as of the date of this
      Agreement and as of the date of Closing, as follows:

	 	 	 
		8.1 	
      Organization. Producer is a duly organized validly
      existing corporation in good standing under the Laws of the State of
      Delaware, and is duly qualified to do business in the State of Arizona and
      has all requisite power and authority to conduct its business and to own
      its property, as now conducted or owned, and as contemplated by this
      Agreement.

	 	 	 
		8.2 	
      Authorization. All required corporate actions and
      proceedings have been duly taken so as to authorize the execution and
      delivery by Producer of this Agreement and all other documents or
      instruments to be executed and delivered hereunder and to grant the
      Royalty to IRC.

  5 

	 	8.3 	
      Valid and Binding. This Agreement constitutes the
      legal, valid and binding obligations of Producer enforceable in accordance
      with its terms.

	 	 	 	 
	 	8.4 	
      No Violations. The consummation of the
      transactions contemplated by this Agreement and the subsequent payment of
      the Royalty and performance of the obligations of Producer hereunder does
      not constitute a violation of, nor conflict with, any Law, contract,
      agreement or organizational document to which Producer is a party or by
      which it or its property is or may be bound.

	 	 	 	 
	 	8.5 	
      No Litigation. Except as set forth on the
      Disclosure Schedule, there is no litigation now pending, or to the best of
      Producer’s knowledge threatened, against Producer which if adversely
      decided could materially impair the ability of Producer to grant the
      Royalty hereunder and to pay the same as it becomes due.

	 	 	 	 
	 	8.6 	
      No Consents. Except for any consent required by
      Producer’s existing credit facilities identified on Exhibit B to the
      Royalty Deed, Producer need not give any notice to, make any filings with,
      or obtain any authorization, consent or approval of any person or
      governmental agency in order to consummate the transactions contemplated
      by this Agreement and grant the Royalty to IRC.

	 	 	 	 
	 	8.7 	
      Brokers Fees. Producer does not have any liability
      to pay any fees or commissions to any broker, finder, or agent with
      respect to the transactions contemplated by this Agreement for which IRC
      could become liable or obligated.

	 	 	 	 
	 	8.8 	
      Foreign Person. Producer is not a “foreign
      person”, as such term is defined in Section 1445 of the Internal Revenue
      Code.

	 	 	 	 
	 	8.9 	
      Rights in the Property.

	 	 	 	 
	 		(a) 	
      The warranties and representations contained in the
      Royalty Deed as to Producer’s rights in the Property are true and
      correct;

	 	 	 	 
	 		(b) 	
      There are no options or rights of first refusal to
      purchase or acquire all or any portion of the Property;

	 	 	 	 
	 		(c) 	
      Producer has access to the Property from roads sufficient
      to allow Producer to conduct its business at the Property as it is
      currently conducted and Producer has not received notice of termination of
      such access; and

	 	 	 	 
	 		(d) 	
      Producer has not received notice of any taking of the
      Property or any part thereof, in or by condemnation or other eminent
      domain proceedings pursuant to any Law, or by reason of the temporary
      requisition of the use or occupancy of the Property or any part thereof,
      by any Governmental Authority, civil or military or the commencement or
      pendency of any action or proceeding therefor.

  6 

	 	8.10 	
      Condition of Property. Except as set forth on the
      Disclosure Schedule, with respect to Producer’s operations related to the
      Property:

	 	 	 	 	 
	 		(a) 	
      There has been issued and there remains in full force and
      effect subject to no revocation, suspension, forfeiture or modification,
      each and every Permit necessary for the present use, operation and
      occupancy of the Property by Producer and the conduct of mining,
      processing and sales of Minerals from the Property and all required
      zoning, building code, land use, environmental and other similar
      Permits;

	 	 	 	 	 
	 		(b) 	
      The Property and the present and contemplated use and
      occupancy thereof for Producer’s Mineral operations comply in all material
      respects with all applicable zoning ordinances, building codes, land use
      Laws, setback or other development and/or use requirements of Governmental
      Authorities;

	 	 	 	 	 
	 		(c) 	
      There has not occurred any material damage to or
      destruction of the Property or any portion thereof as a result of any fire
      or other casualty that, as of the date hereof, has not been repaired in
      all material respects;

	 	 	 	 	 
	 		(d) 	
      All liquid and solid waste disposal, septic and sewer
      systems located on the Property are in compliance in all material respects
      with any and all Laws and requirements of any Governmental Authority;
      and

	 	 	 	 	 
	 		(e) 	
      With respect to the environmental condition of the
      Property and Producer’s operations on the Property:

	 	 	 	 	 
	 			(i) 	
      the conditions existing on or with respect to the
      Property and its ownership and operation of the Property are not (A) in
      violation of any Laws, including without limitation any Environmental
      Laws, or (B) causing or resulting in Environmental Liabilities;

	 	 	 	 	 
	 			(ii) 	
      there have been no past violations by Producer of any
      Environmental Laws or other Laws affecting or pertaining to the Property,
      nor the creation of Environmental Liabilities by Producer or, to the
      knowledge of any Key Employee of Producer, any of its predecessors in
      title to the Property, except as has been fully abated and remediated by
      Producer or its predecessors in title so as to cause the Property and
      Producer’s operations thereon to be in full compliance with the
      requirements of applicable Laws and the orders of all Governmental
      Authority having jurisdiction, and to be free of any claim for damages or
      remediation costs, natural resources damages or other Environmental
      Liabilities; and

	 	 	 	 	 
	 			(iii) 	
      No Key Employee of Producer has received an inquiry from
      or notice of a pending investigation from any Governmental Authority or of
      any administrative or judicial proceeding concerning the violation of any
      Laws.

  7 

	 	(f) 	
      Producer is in compliance in all material respects with
      each Permit pertaining to its operations for extracting, processing and
      sale of Minerals, including without limitation, all Permits pertaining to
      Environmental Laws and reclamation.

	9.	 Producer Covenants. During
        the period from the Effective Date to the Closing, Producer agrees that,
        except as contemplated or permitted by this Agreement or to the extent
        that IRC otherwise consents in writing:

	 	 	 	 
			(a) 	 As soon as possible after execution of this Agreement
        Producer shall provide IRC with full, complete and correct copies of all
        leases and other agreements affecting the Property; and all Mineral sales
        contracts for production from the Property.

	 	 	 	 
			(b) 	 Producer will not, and will not agree to, sell, lease,
        exchange, or encumber the Property or its interest in the Minerals except
        for sales of Minerals in the ordinary course of business.

	 	 	 	 
			(c) 	 Producer will immediately notify IRC in writing of any
        event that renders any representation or warranty of Producer hereunder
        incorrect or inaccurate.

	 	 	 	 
			(d) 	 Producer will not take any action that would, or would
        be reasonably likely to, result in any of the conditions in Section 11
        not being satisfied or that would materially impair Producer’s ability
        to consummate the transactions contemplated hereby in accordance with
        the terms hereof or would materially delay such consummation. Producer
        shall promptly advise IRC orally and in writing of any change in, or event
        with respect to, the Property or Producer having, or that could have,
        a material adverse effect on Producer’s ability to consummate the
        transactions contemplated hereby.

	10. 	
      Covenant of IRC. During the period from the date
      of this Agreement until the Closing, IRC will not take any action that
      would, or would be reasonably likely to, result in any of the conditions
      in Section 11 not being satisfied or that would materially impair IRC’s
      ability to consummate the transactions contemplated hereby in accordance
      with the terms hereof or would materially delay such consummation. IRC
      shall promptly advise Producer orally and in writing of any change or
      event that could have a material adverse effect on Producer’s ability to
      consummate the transactions contemplated hereby.

	 	 	 	 
	11. 	
      Closing Conditions.

	 	 	 	 
		11.1 	
      Conditions to Each Party’s Obligations. The
      respective obligations of the parties hereunder are subject to the
      satisfaction, at or prior to the Closing, of the following
    conditions:

	 	 	 	 
			(a) 	
      No temporary restraining order, preliminary or permanent
      injunction or other order issued by any court of competent jurisdiction or
      other legal

  8 

	 		
      restraint or prohibition preventing the consummation of
      the transactions contemplated herein shall be in effect (each party
      agreeing to use all reasonable efforts to have any such order reversed or
      injunction lifted).

	 	 	 
	 	(b) 	
      No claim, action, litigation or proceeding shall be
      pending or threatened against IRC or Producer for the purpose of enjoining
      or preventing the consummation of the transactions contemplated hereby or
      otherwise claiming that this Agreement or the consummation of the
      transactions contemplated hereby are illegal.

	 	11.2 	 Conditions to IRC’s Closing Obligation.
        IRC’s obligation to close the transactions contemplated hereunder
        is subject to:

	 	 	 	 	 
			(a) 	 IRC being satisfied, in its sole discretion:

	 	 	 	 	 
				(i) 	 As to Producer’s title in and to the Property and
        the ability of Producer to convey the Royalty free and clear of all prior
        liens and encumbrances except for Permitted Liens or as agreed to by IRC;

	 	 	 	 	 
				(ii) 	 As to the tax consequences and impact to IRC of the
        purchase and conveyance of the Royalty;

	 	 	 	 	 
				(iii) 	 As to the quantity, quality and potential recovery of
        reserves of Minerals from the Property;

	 	 	 	 	 
				(iv) 	 As to the status of all Permits required to conduct
        operations for Minerals on the Property; and

	 	 	 	 	 
				(v) 	 As to Nord’s financial position and all financing
        and Mineral sales agreements pertaining to Property.

	 	 	(b) 	 The representations and warranties of Producer set forth
        herein are correct in all material respects as of the Closing as though
        they were made as of the Closing.

	 	 	 	 
	 	 	(c) 	 Producer shall have fully performed and complied in
        all material respects with the covenants hereunder that are to be performed
        or complied with by it at or prior to the Closing.

	 	 	 	 
	 	 	(d) 	 The approval of this Agreement and the transactions
        contemplated hereby by IRC’s board of directors.

	 	 	 	 
	 	 	(e) 	 The written approval of this Agreement and the transactions
        contemplated hereby by Producer’s senior lender, Nedbank Limited,
        and the agreement of Nedbank, in substantially the form of Exhibit D hereto
        or as otherwise agreed to by IRC, that the Royalty shall survive any foreclosure
        or transfer of the Property in lieu thereof of Nedbank’s Deed of
        Trust included in the Permitted Liens.

  9 

	 	11.3 	 Conditions to Producer’s Closing Obligations.
        Producer’s obligation to close the transactions contemplated hereunder
        is subject to the fulfillment of the following conditions, at or prior
        to the Closing (unless waived in writing by Producer):

	 	 	 	 
			(a) 	 The representations and warranties of IRC set forth
        herein are correct in all material respects as of the Closing as though
        they were made as of the Closing.

	 	 	 	 
			(b) 	 IRC shall have fully performed and complied in all material
        respects with the covenants hereunder that are to be performed or complied
        with by it at or prior to the Closing.

	 	 	 	 
			(c) 	 The approval of this Agreement and the transactions
        contemplated hereby by Producer’s board of directors.

	 	 	 	 
			(d) 	 The approval of this Agreement and the transactions
        contemplated hereby by Producer’s senior lender, Nedbank Limited.

	12. 	
      Termination.

	 	 	 	 
		12.1 	
      Termination. This Agreement may be terminated at
      any time prior to the Closing:

	 	 	 	 
			(a) 	
      By mutual written consent of Producer and IRC;

	 	 	 	 
			(b) 	
      By Producer if any of the representations or warranties
      of IRC herein are inaccurate in any material respect and if such
      inaccuracy cannot reasonably be expected to be cured prior to the
      Closing;

	 	 	 	 
			(c) 	
      By Producer if any obligation, term or condition to be
      performed or observed by IRC hereunder has not been performed or observed
      in any material respect at or prior to the time specified in this
      Agreement;

	 	 	 	 
			(d) 	
      By IRC if, as a result of the investigations of Section 4
      and 11.2(a) and (b), title to or the condition of the Property or
      Producer’s operations or financial condition is unsatisfactory to IRC in
      IRC’s sole good faith opinion.

	 	 	 	 
			(e) 	
      By IRC if any of the representations or warranties of
      Producer herein are inaccurate in any material respect and if such
      inaccuracy cannot reasonably be expected to be cured prior to the
      Closing;

	 	 	 	 
			(f) 	
      By IRC if any obligation, term or condition to be
      performed or observed by Producer hereunder has not been performed or
      observed in any material respect at or prior to the time specified in this
      Agreement; and

	 	 	 	 
			(g) 	
      By either IRC or Producer if any of the conditions set
      forth in Subparagraph 11.1 have not been
satisfied.

  10 

	 	12.2 	
      Effect of Termination. If validly terminated
      pursuant to Subparagraph 12.1 and the Closing does not occur as provided
      in Section 6, this Agreement will become null and void and, except as
      provided in Subparagraph 12.3, all further obligations of the parties
      under this Agreement will terminate and there will be no liability on the
      part of any party under this Agreement.

	 	 	 
	 	12.3 	
      Reimbursement of Negotiation and Due Diligence
      Costs. Notwithstanding Subparagraph 12.2, if this Agreement terminates
      without grant by Producer of the Royalty due to the failure of any of the
      conditions set forth in subparagraph 11.3(c) or (d), all out-of-pocket
      legal fees and other costs incurred by IRC in negotiating this Agreement
      and conducting due diligence up to $50,000 shall be reimbursed by Producer
      to IRC.

	13. 	
      Notices. Any demand, notice or request by either
      party to the other shall be in writing and hand delivered to the party
      intended to receive the same or mailed by registered or certified mail,
      return receipt requested, addressed to that party as
  follows:

	 	If to IRC 	IRC Nevada Inc. 
	 	  	c/o IRC (U.S.) Management Inc. 
	 	  	10 Inverness Dr. East, Suite 104 
	 	  	Englewood, CO 80112 
	 	  	Attention: Chief Financial Officer 
	 	  	  
	 	If to Producer: 	Nord Resources Corporation 
	 	  	1 West Wetmore Road, Suite 203 
	 		
      Tucson, AZ 85705  

	 	  	Attention: President and Chief Executive
      Officer 

or at such other address as may be set
forth in a notice delivered or mailed as herein provided.

	14. 	
      Further Assurances. The parties each covenant and
      agree, upon request from the other from time to time, to execute,
      acknowledge and deliver such further instruments or documents which the
      requesting party may reasonably require in furtherance of its rights under
      this Agreement.

	 	 
	15. 	
      Assignment. If Producer shall sell, convey,
      assign, encumber or otherwise transfer any interest in the Minerals (other
      than sales of Minerals in the ordinary course of Producer’s business), the
      Property or any Minerals sale contracts (any of which is referred to in
      this Section as a “Transfer”), then, as a condition to the
      effectiveness of such Transfer, Producer shall make such Transfer
      expressly subject to the Royalty and shall obtain the written
      acknowledgement of the transferee of IRC’s Royalty and, for Transfers
      other than an encumbrance, shall require the transferee to expressly
      assume the obligations of Producer with respect to events and conditions
      occurring after the Transfer and to pay the Royalty accruing after the
      Transfer according to its terms. Upon the assumption of by the transferee
      of the foregoing obligations of Producer hereunder, Producer shall be
      released from performance of all obligations under this Agreement which
      arise after the Transfer,

  11 

		
      except that Producer shall not be deemed released from
      the performance of any obligations which relate to the period prior to the
      Transfer, for which Producer shall remain primarily liable.

	 	 	 
	16. 	
      Transfer of Royalty Interest. If at any time IRC
      desires to sell or transfer all or any portion of its rights to the
      Royalty, IRC shall, on a non-exclusive basis, so advise Producer of such
      desire and of any terms and conditions upon which IRC is willing to
      entertain a proposal or offer as to a sale or transfer. If IRC solicits
      offers or bids for the rights, Producer shall be given the opportunity to
      make an offer or submit a bid; provided, however, that the foregoing shall
      not create any right of first refusal, right of first offer or other
      preemptive right in Producer to acquire any interest in rights to the
      Royalty from IRC, and IRC shall have no obligation whatsoever to accept
      any offer or bid from Producer, or sell or transfer any such interest to
      Producer, without regard to whether Producer’s offer or bid is the high
      bid or best offer, and any decision to sell or transfer to Producer or to
      any other party shall be in IRC’s sole discretion.

	 	 	 
	17. 	
      Confidentiality. All information disclosed by
      Producer to IRC that is not generally known or generally available to
      persons who are in the mining industry shall be deemed confidential and,
      except as provided below in this Section, may be used by IRC solely for
      the purpose of conducting its due diligence investigations pursuant to
      this Agreement, and shall not be disclosed to anyone except to those
      persons who have a need to know in connection with such investigations.
      Notwithstanding the foregoing, IRC may disclose such information to
      potential private investors, lenders and financial advisors if needed to
      allow IRC to obtain its own financing based upon such information,
      provided that any such private investor, lender or financial advisor first
      agrees to be bound by the confidentiality provisions of this
    Section.

	 	 	 
	18. 	
      Parties Bound. The provisions of this Agreement
      shall be binding upon and inure to the benefit of Producer and IRC and
      their respective successors and assigns, except as otherwise prohibited by
      this Agreement. This Agreement is a contract by and between Producer and
      IRC for their mutual benefit, and no third person shall have any right,
      claim or interest against either IRC or Producer by virtue of any
      provision hereof.

	 	 	 
	19. 	
      Governing Law; Consent to Jurisdiction; Mutual Waiver
      of Jury Trial.

	 	 	 
		19.1 	
      Governing Law; Severability. This Agreement shall
      be governed by and construed in accordance with the Laws of the State of
      Arizona without regard to conflict of law principles. In the event that
      any provision or clause of this Agreement conflicts with applicable Laws,
      such conflicts shall not affect other provisions of this Agreement which
      can be given effect without the conflicting provision, and to this end the
      provisions of this Agreement are declared to be severable.

	 	 	 
		19.2 	
      Consent to Jurisdiction. Each party consents to
      the jurisdiction of the state courts of Colorado and to the federal court
      for the District of Colorado in connection with any dispute or the pursuit
      of any remedy or relief in connection with
this

  12 

	 		
      Agreement and Producer waives any objection to the venue
      of any legal process on the basis that the process has been brought in an
      inconvenient forum.

	 	 	 
	 	19.3 	
      Waiver of Jury Trial. Each party hereto waives any
      right to a trial by jury of any dispute or issue arising under or in
      connection with this Agreement.

	20. 	
      Title and Headings. The titles and the headings of
      sections are not parts of this Agreement and shall not be deemed to affect
      the meaning or construction of any of its or their provisions.

	 	 
	21. 	
      Counterparts. This Agreement may be executed in
      several counterparts, each of which when executed and delivered is an
      original, but all of which together shall constitute one
  instrument.

	 	 
	22. 	
      Time Of the Essence. Time is of the essence for
      each provision of this Agreement.

	 	 
	23. 	
      Entire Agreement. This written Agreement
      represents the final agreement between the parties and may not be
      contradicted by evidence of prior, contemporaneous or subsequent oral
      agreements of the parties. This Agreement may only be amended, terminated,
      extended or otherwise modified by a writing signed by the party against
      which enforcement is sought. In no event shall any oral agreements,
      promises, actions, inactions, knowledge, course of conduct, course of
      dealings or the like be effective to amend, terminate, extend or otherwise
      modify this Agreement. This Agreement survives the execution and delivery
      of the Royalty Deed and does not merge into it. The parties agree that
      this Agreement is the definitive agreement referenced in that certain
      letter agreement dated March 6, 2009 to Producer from IRC (“Letter
      Agreement”). This Agreement supersedes the Letter Agreement from and
      after the date hereof.

[signatures on following page]

13

     IN WITNESS WHEREOF this Agreement
has been duly executed and delivered as of the date above first written.

	 	NORD RESOURCES CORPORATION, 
	 	a Delaware corporation 
	 	  	  
	 	  	  
	 	By: 	/s/
      John T. Perry 
	 	  	John T. Perry, President 
	 	  	  
	 	  	  
	 	  	  
	 	IRC NEVADA INC., 
	 	a Nevada corporation 
	 	  	  
	 	By: 	/s/
      Doug Silver 
	 	  	Doug Silver 
	 	  	President 

  14Filed by sedaredgar.com - Nord Resources Corp. - Exhibit 10.69

Recording Requested by, and When Recorded Return to: 
IRC
Nevada Inc.
10 Inverness Drive East, Suite 104 
Englewood, CO 80112

ROYALTY DEED AND ASSIGNMENT OF ROYALTY

     This ROYALTY DEED AND ASSIGNMENT
OF ROYALTY (this “Deed”), dated and effective as of the 31st
day of March, 2009 (“Effective Date”), is from NORD RESOURCES
CORPORATION, a Delaware corporation (“Producer”), to IRC NEVADA INC., a
Nevada corporation (“IRC”).

Definitions.

	 	(a) 	
      Defined Terms. The following terms shall have the
      meaning set forth in this Section:

	 	 	 	 	 
	 		(i) 	
      “Affiliate” shall mean any person or entity
      controlling, controlled by or under common control with
Producer.

	 	 	 	 	 
	 		(ii) 	
      “Allowable Deductions” means:

	 	 	 	 	 
	 			(1) 	
      in the case of a Smelter or Refinery that is an Unrelated
      Party of the Producer, all direct costs, charges and expenses of the
      Smelter or Refinery incurred by the Producer for off-site smelting or
      refining of the Product following delivery to the Smelter or Refinery
      (including provisional settlement fees, weighing, sampling, assaying,
      umpire, insurance and other off-site Smelter or Refinery
    deductions);

	 	 	 	 	 
	 			(2) 	
      otherwise, an amount equal to the commercially reasonable
      costs of a refinery or smelter on an arms length basis for off-site
      smelting or refining of the Product following delivery to the refiner or
      smelter (including provisional settlement fees, weighing, sampling,
      assaying, umpire, insurance and other off-site refiner or smelter
      deductions);

	 	 	 	 	 
	 			(3) 	
      direct sales, use, and gross receipts taxes, payable by
      the Producer or other operator of the Property, that are based directly
      upon, and assessed against, the value or quantity of Product sold or
      otherwise disposed of from the Property; but excluding any and all taxes
      based upon the net or gross income of the Owner or other operator of the
      Property, the value of the Property or the privilege of doing business,
      and other taxes assessed on a similar basis;

	 	 	 	 	 
	 			(4) 	
      costs to market the Product; and

1

	 		(5) 	
      to the extent paid by the Producer, all costs (including
      but not limited to insurance costs) for transportation of the Product to
      the purchaser of the Product.

	 	 	 	 
	 	(iii) 	
      “Business Day” means a day banks are open for
      general banking business in Denver, Colorado, and Tucson, Arizona,
      excluding Saturdays, Sundays and public holidays.

	 	 	 	 
	 	(iv) 	
      “Copper” means the element copper in whatever form
      and however contained.

	 	 	 	 
	 	(v) 	
      “Dollars” or “$” means the currency of the
      United States of America.

	 	 	 	 
	 	(vi) 	
      “Governmental Authority” shall mean any federal,
      state or local government, governmental or quasi-governmental agency,
      district or authority having jurisdiction or authority to regulate or
      control the Property or any part of Producer’s operations in connection
      with production and sale of Minerals.

	 	 	 	 
	 	(vii) 	
      “Law” or “Laws” means all applicable
      federal, state and local laws, rules, ordinances, regulations, grants,
      licenses, orders, directives, judgments, decrees, and other governmental
      restrictions, including Permits, whether legislative, municipal,
      administrative or judicial in nature.

	 	 	 	 
	 	(viii) 	
      “Metal” means any metallic element in whatever
      form and however contained, including, by way of example, gold, silver,
      platinum, palladium, Copper, zinc, nickel, iron, lead, cobalt, titanium,
      iridium and uranium.

	 	 	 	 
	 	(ix) 	
      “Mineral Value” means the actual value of a
      Mineral determined on arms length terms and at any applicable spot price,
      the basis for which shall be agreed to in advance by the parties hereto,
      or if no spot price is available, at fair market value excluding any
      revenues, gains or losses from forward sales, puts, calls and options (or
      any similar arrangement) entered into by the Producer.

	 	 	 	 
	 	(x) 	
      “Minerals” means any naturally occurring substance
      including Copper, all other Metals, coal, and all other hydrocarbons;
      excepting, however, decorative and structural stone sold for landscape and
      aggregate rock from overburden stockpiled on the Property and all other
      industrial minerals.

	 	 	 	 
	 	(xi) 	
      “Net Returns” means:

	 	 	 	 
	 		(1) 	
      in the case of a sale of Product to an Unrelated Party,
      the Proceeds of Sale, less the Allowable Deductions;
and

2

	 		(2) 	
      in all other cases, the Mineral Value, on the applicable
      Product Sale Date less the Allowable Deductions, and for the avoidance of
      doubt, excludes any Operating Expenses.

	 	 	 	 
	 	(xii) 	
      “Officer” means a president, vice president, chief
      executive officer, chief operating officer, chief financial officer,
      secretary or other equivalent officer.

	 	 	 	 
	 	(xiii) 	
      “Operating Expenses” means costs and expenses
      associated with ownership and maintenance of the Property, production of
      Minerals therefrom, handling, processing, treating, stockpiling, packaging
      and preserving Minerals produced from the Property, disposal of waste
      materials, and reclamation costs and all other charges or costs imposed by
      Governmental Agencies on the Producer, the Property and Minerals produced
      and sold therefrom, of whatever kind and nature, expressly including all
      royalties, taxes and other governmental imposts on the Producer, Property
      or Minerals.

	 	 	 	 
	 	(xiv) 	
      “Permitted Lien” shall mean any lien for real or
      personal property taxes not yet due and payable and the liens and
      encumbrances identified on Exhibit B attached hereto and incorporated by
      this reference; and any other lien or encumbrance that is or may be
      superior to the rights of IRC in and to the Royalty, but only if and to
      the extent that IRC has given its prior written consent thereto.

	 	 	 	 
	 	(xv) 	
      “Proceeds of Sale” means the amount received by
      the Producer from the sale to an Unrelated Party of Product produced from
      the Property excluding any revenues, gains or losses from forward sales,
      puts, calls and options (or any similar arrangement) entered into by the
      Producer.

	 	 	 	 
	 	(xvi) 	
      “Product” means all of the Producer’s right, title
      and interest in and to Minerals that have been extracted from the Property
      whether in concentrate or otherwise and including Stockpiled
    Material.

	 	 	 	 
	 	(xvii) 	
      “Product Sale Date” in relation to Product,
      means:

	 	 	 	 
	 		(1) 	
      in the case of a sale of Product to an Unrelated Party,
      the date on which care, custody and control is transferred to the buyer;
      and

	 	 	 	 
	 		(2) 	
      in all other cases, the date on which the Producer ceases
      to have the care, custody or control of that Product.

	 	 	 	 
	 	(xviii) 	
      “Property” means:

	 	 	 	 
	 		(1) 	
      The patented lode mining claims and other fee lands and
      the unpatented mining claims more particularly described in Exhibit A
      attached hereto and incorporated by this
reference;

3

	 	(2) 	
      with respect to the unpatented mining claims and any
      leasehold interest in the Property, any present or future renewal,
      extension, modification, substitution, amalgamation or variation of any of
      such mining Property;

	 	 	 
	 	(3) 	
      any present or future application for or interest in any
      of the above, which confers or which, when granted, will confer the same
      or similar rights; and all interests in lands or Minerals hereafter
      acquired by Producer within the exterior perimeter boundaries of the
      parcels of land expressly described in Exhibit A, such as but not limited
      to amendments, relocations or location of fractions with respect to
      unpatented mining claims, or other acquisitions of lands interior to such
      perimeter.

	 	(xix) 	
      “Quarter” means each period of three (3) months
      ending on a Quarterly Date.

	 	 	 
	 	(xx) 	
      “Quarterly Date” means each of March 31, June 30,
      September 30 and December 31 in each year.

	 	 	 
	 	(xxi) 	
      “Royalty” is defined in Sections 2 and
3.

	 	 	 
	 	(xxii) 	
      “Royalty Period” means each period calculated as
      such under Section 4.

	 	 	 
	 	(xxiii) 	
      “Smelter or Refinery” means any Unrelated Party
      processor of Product for the account of Producer or who purchases Product
      for further conversion or processing of Product for sale as a
  Metal.

	 	 	 
	 	(xxiv) 	
      “Stockpiled Material” means Minerals or Mineral
      bearing material that has been extracted from the Property whether located
      on the Property or elsewhere.

	 	 	 
	 	(xxv) 	
      “Unrelated Party” means a
person:

	 	(1) 	
      that is not an Affiliate of the Producer; or

	 	 	 
	 	(2) 	
      that the Producer has no economic interest (other than an
      interest that arises from an arm’s length commercial arrangement) in, or
      which has no economic interest (other than an interest that arises from an
      arm’s length commercial arrangement) in the Producer, unless IRC otherwise
      agrees in writing.

	 	(b) 	
      Interpretation. In this Deed headings are for
      convenience only and do not affect the interpretation of this Deed and,
      unless the context otherwise requires:

	 	 	 	 
	 		(i) 	
      words importing the singular include the plural and vice
      versa;

	 	 	 	 
	 		(ii) 	
      words importing a gender include any
  gender;

4

	 	(iii) 	
      other parts of speech and grammatical forms of a word or
      phrase defined in this Deed have a corresponding meaning;

	 	 	 	 
	 	(iv) 	
      an expression importing a natural person includes any
      company, partnership, joint venture, association, corporation or other
      body corporate and any Governmental Agency;

	 	 	 	 
	 	(v) 	
      a reference to a Section, party, annexure, exhibit or
      schedule is a reference to a Section of, and a party, annexure, exhibit
      and schedule to, this Deed and a reference to this Deed includes any
      annexure, exhibit and schedule;

	 	 	 	 
	 	(vi) 	
      a reference to a statute, regulation, order or ordinance
      includes all statutes, regulations, orders or ordinances amending,
      consolidating or replacing it, and a reference to a statute includes all
      regulations and orders issued under that statute;

	 	 	 	 
	 	(vii) 	
      a reference to a document includes all amendments or
      supplements to, or replacements or novations of, that document, and in the
      case of this Deed means only those amendments, supplements, replacements
      or novations expressly permitted or contemplated by the terms of this
      Deed;

	 	 	 	 
	 	(viii) 	
      a reference to a party to a document includes that
      party’s successors and permitted assigns; a reference to an agreement
      other than this Deed includes an undertaking, Deed, agreement or legally
      enforceable arrangement or understanding whether or not in
  writing;

	 	 	 	 
	 	(ix) 	
      a reference to an asset includes all property of any
      nature, including, but not limited to, a business, and all rights,
      revenues and benefits;

	 	 	 	 
	 	(x) 	
      a reference to a document includes any agreement in
      writing, or any certificate, notice, Deed, instrument or other document of
      any kind;

	 	 	 	 
	 	(xi) 	
      a reference to a body, other than a party to this Deed
      (including, without limitation, an institute, association or authority),
      whether statutory or not:

	 	 	 	 
	 		(1) 	
      which ceases to exist; or

	 	 	 	 
	 		(2) 	
      whose powers or functions are transferred to another
      body,

	 	 	 	 
	 		
      is a reference to the body which replaces it or which
      substantially succeeds to its powers or functions;

	 	 	 	 
	 	(xii) 	
      a reference to liquidation includes official management,
      appointment of an administrator, compromise, arrangement, merger,
      amalgamation, reconstruction, winding-up, dissolution, deregistration,
      assignment for the benefit of creditors, scheme, composition or
      arrangement with creditors, insolvency, bankruptcy, or any similar
      procedure or, where applicable, changes in the constitution of any
      partnership or person, or death;

5

	 	(xiii) 	
      no provision of this Deed will be construed adversely to
      a party solely on the ground that the party was responsible for the
      preparation of this Deed or that provision; and

	 	 	 
	 	(xiv) 	
      words of inclusion are not words of
  limitation.

	2. 	
      Conveyance. For ten dollars and other good and
      valuable consideration, the receipt and sufficiency of which are hereby
      acknowledged, Producer hereby sells, assigns, grants and conveys to IRC,
      its successors and assigns, a perpetual, non-participating, non-
      executory, cost-free royalty interest (“Royalty”) on the Minerals
      produced and sold from the Property in the amounts and at the rate set
      forth in Section 3, below.

	 	 	 
		
      TO HAVE AND TO HOLD, all and singular, the said Royalty,
      together with all appurtenances, unto IRC, its successors and
    assigns.

	 	 	 
		(a) 	
      Covenant Running with Land. The Royalty shall be
      an interest in the Property and Minerals that runs with the Property and
      with any assignment or transfer of Producer’s interest in the Property or
      Minerals, other than for sale of Minerals in the ordinary course of
      Producer’s business.

	 	 	 
		(b) 	
      Amendments, Extensions, Renewals. The Royalty
      burdens and extends to any amendments, replacements, extensions, renewals
      or expansions of rights or interests in and to the Property (but not
      expansions of the existing perimeter boundary of the Property), or any
      interest or rights Producer now owns or hereafter acquires in and to the
      parcels of real property that are presently included in the Property or
      the Minerals within or upon such real property, and any assignment or
      lease of the Property.

	3. 	
      Royalty Rate.

	 	 	 	 	 
		(a) 	
      Base Royalty Rate. Subject to Section 3.3, 3.4 and
      3.5 below, the royalty rate for the royalty herein granted shall be two
      and one-half percent (2.5%) of the Net Returns from Products produced from
      the Property (“Base Royalty Rate”).

	 	 	 	 	 
		(b) 	
      Additional Definitions. For purposes of this
      Section 3:

	 	 	 	 	 
			(i) 	
      “Additional Production” shall mean production in
      any Current Year that causes or occurs after both of the following
      conditions have been met:

	 	 	 	 	 
				(1) 	
      There is Current Actual Production in excess of the
      Target Rate; and

	 	 	 	 	 
				(2) 	
      The sum of the Cumulative Actual Production and Current
      Actual Production exceeds the sum of the MCPT plus 2.5 million pounds of
      Copper on which Royalty is payable.

6

	 	(ii) 	
      “Cumulative Actual Production” shall mean the
      cumulative number of pounds of Copper produced in all Minimum Production
      Years prior to the Current Year.

	 	 	 
	 	(iii) 	
      “Current Actual Production” shall mean the number
      of pounds of Copper actually produced and sold or deemed sold for the
      purposes of payment of Royalty during the Current Year.

	 	 	 
	 	(iv) 	
      “Current Minimum Production Target” shall mean
      22.5 million pounds of production of Copper on which Royalty is payable
      for the Current Year.

	 	 	 
	 	(v) 	
      “Current Year” means the most recently concluded
      calendar year that is also a Minimum Production Year and as to which
      Royalty and the applicability of a Royalty Supplement or Recovery Credit
      is being determined and calculated.

	 	 	 
	 	(vi) 	
      “Minimum Cumulative Production Target” or
      “MCPT” means the product of 25 million pounds of Copper on which
      Royalty is payable, multiplied by the cumulative number of Minimum
      Production Years that have elapsed including the Current Year, less 2.5
      million pounds. For example, the MCPT when the Current Year is 2014 is 5
      [2010-2014, inclusive] x 25 million-2.5 million = 122.5 million pounds of
      Copper.

	 	 	 
	 	(vii) 	
      “Minimum Production Year” means each of calendar
      years 2010-2019, inclusive.

	 	 	 
	 	(viii) 	
      “Royalty Supplement” is defined in Section
    3.3

	 	 	 
	 	(ix) 	
      “Royalty Credit” is defined in Section
  3.4.

	 	 	 
	 	(x) 	
      “Target Rate” shall mean production of 25 million
      pounds of Copper on which Royalty is payable during each Minimum
      Production Year.

	 	(c) 	
      Royalty Supplement. If, as of the end of any
      Current Year, (i) Current Actual Production is not at least 22.5 million
      pounds and (ii) the Cumulative Actual Production is less than the MPCT,
      then, as to Current Actual Production, the Producer shall pay IRC, in
      addition to the Royalty at the Base Royalty Rate otherwise payable, the
      following additional amount (“Royalty Supplement”) at the same time
      as the payment for the Quarter ending December 31 of the Current Year is
      due:

	 	 	 	 
	 		(i) 	
      If the Current Actual Production is at least 20 million
      pounds and less than 22.5 million pounds, the additional amount of 0.1875%
      of Net Returns on Copper on each pound of Current Actual
  Production.

	 	 	 	 
	 		(ii) 	
      If the Current Actual Production is less than 20.0
      million pounds, the additional amount of 0.3750% of Net Returns on Copper
      on each pound of Current Actual Production.

7

	 	(iii) 	
      No Royalty Supplement shall be payable for Copper
      produced on or after January 1, 2020.

	 	(d) 	
      Recovery of Royalty Supplement. Amounts paid as
      Royalty Supplement pursuant to Section 3.3 may be recovered by means of
      “Royalty Credit” pursuant to this Section if there is Additional
      Production.

	 	(i) 	
      If, after paying Royalty Supplement in any Minimum
      Production Year or Years, Producer has sufficient Copper production for
      one or more subsequent Minimum Production Years so as to result in
      Additional Production, the Royalty on Current Actual Production shall be
      reduced from the Base Royalty Rate as follows:

	 	 	 	 
	 		(1) 	
      The number of pounds of Copper which were subject to a
      Royalty Supplement of 0.3750%, and for which there has not been a prior
      Royalty Credit, shall be determined and, as to the lesser of that number
      of pounds or the Actual Current Production, the Royalty shall be payable
      at the Base Rate less 0.3750%.

	 	 	 	 
	 		(2) 	
      After there has been complete recovery pursuant to
      Section 3.4(a)(i) of the 0.3750% Royalty Supplement, the number of pounds
      of Copper which were subject to a Royalty Supplement of 0.1875%, and for
      which there has not been a prior Royalty Credit, shall be determined and,
      as to the lesser of that number of pounds or the Actual Current Production
      for which the Royalty was not reduced pursuant to 3.4(a)(i), the Royalty
      shall be payable at the Base Rate less
0.1875%.

	 	(ii) 	
      Royalty Supplement not recovered as a result of
      Additional Production during the Current Year may be carried forward and
      recovered in a subsequent Minimum Production Year.

	 	 	 
	 	(iii) 	
      No Royalty Supplement shall be recoverable pursuant to
      Section 3.4(a) from: (i) Copper production after the last Minimum
      Production Year ending December 31, 2019 or (ii) production and sale of
      Minerals other than Copper at any time.

	 	(e) 	
      Other Minerals. If and at such time prior to
      January 1, 2021, IRC has received Royalty on at least 250 million pounds
      of Copper, the Base Royalty Rate on Minerals other than Copper shall be
      permanently reduced to one and one-quarter percent (1.25%). The Base
      Royalty Rate for Copper shall not be subject to the reduction set forth in
      this Section, and shall at all times be two and one-half percent (2.5%)
      subject to Sections 3.3 and 3.4.

	 	 	 
	 	(f) 	
      Suspension of Production. Notwithstanding Section
      3.3, if there is a temporary cessation of production of Minerals at the
      Property for any bona fide reason, including without limitation events of
      Force Majeure (as defined in Section 17.10) or unfavorable market
      conditions, all required benchmarks, such as but
not

8

limited to Current Minimum Production
Target, Minimum Cumulative Production Target and Target Rate shall be adjusted
and pro rated so as to negate the effect of the time period or periods when any
such bona fide cessation of production was occurring. 

	4. 	
      Royalty Periods.

	 	 	 
		(a) 	
      When Calculated. The Royalty shall be calculated
      and payable in respect of Royalty Periods based on the amount of Product
      sold or which has left the care, custody and control of the Producer
      during the applicable Royalty Period.

	 	 	 
		(b) 	
      First Royalty Period. The first Royalty Period
      shall be the period between the date after the Effective Date on which the
      Product is first sold or left the care, custody and control of the
      Producer in commercial quantities from the Property and the next following
      Quarterly Date.

	 	 	 
		(c) 	
      Subsequent Royalty Periods. Each subsequent
      Quarter shall be a Royalty Period.

	5. 	
      Payment.

	 	 	 	 
		(a) 	
      Due Date for Payment. The Royalty payable in
      respect of a Royalty Period shall be payable no later than thirty (30)
      Days after the applicable Quarterly Date, or if there is a dispute, within
      seven (7) days of the determination of that dispute under Section
    17.8.

	 	 	 	 
		(b) 	
      Manner of Payment.

	 	 	 	 
			(i) 	
      Subject to Section 5.2(b), the Royalty shall be payable
      in cash or other immediately available funds to the account designated by
      IRC in writing from time to time.

	 	 	 	 
			(ii) 	
      Subject to any prohibitions or limitations in sales
      contracts of Producer, IRC may elect at any time up to thirty (30) days
      prior to the due date for payment of an amount on account of the Royalty,
      to take the Royalty in kind.

	 	(c) 	
      No Deductions. The Royalty shall be payable in
      accordance with this Deed without withholding, deduction or set off for
      any reason on any account whatsoever.

	 	 	 
	 	(d) 	
      Late Payment. If the Producer does not pay the
      Royalty on or before the due date for payment for any reason whatsoever,
      then the Producer shall pay to IRC interest on the amount of the Royalty
      unpaid by the Producer, until payment in full has been made. Interest
      shall be calculated at the rate of 12% per annum. Interest shall be
      calculated daily and shall be payable on
demand.

	6. 	
      Exclusions from Royalty. Sale or transfer by
      Producer of the Property or any portion thereof or interest therein shall
      not constitute a sale of Minerals for purposes of

9

calculating or paying Royalty, but any
such transferred interest shall remain subject to the Royalty.

	7. 	
      Information.

	 	 	 	 
		(a) 	
      Statements.

	 	 	 	 
			(i) 	
      Each payment of Production Royalty shall be accompanied
      by an itemized statement setting forth all facts and figures necessary in
      order to verify the accuracy of the amount of the payment.

	 	 	 	 
			(ii) 	
      The Producer will also submit to IRC at not less than
      monthly intervals (or such other periods as IRC may from time to time
      agree) a statement of Mineral production and sales from the Property
      (“Statement”) during the period to which the Statement relates.
      Each Statement shall be signed by an authorized Officer of the Producer
      and shall be in a form and contain such detail as IRC may reasonably
      require.

	 	 	 	 
			(iii) 	
      Each Statement shall be delivered to IRC not later than
      fifteen (15) days after the end of the month to which the Statement
      relates.

	 	 	 	 
			(iv) 	
      Each Statement shall be accompanied by such production
      and sales records, receipts and other records as IRC may reasonably
      require in order to verify the amount of the Royalty payable on the
      relevant Quarterly Date.

	 	(b) 	
      Correspondence. The Producer shall within fifteen
      (15) days after receipt, forward to IRC a copy of all material
      correspondence between the Producer and any Smelter or Refiner, including
      without limitation, all statements from the Smelter or Refiner as to the
      amount of concentrate or intermediate Product received and the amount of
      Product and precious metals or other Minerals recovered therefrom, and
      charges or penalties assessed.

	 	 	 
	 	(c) 	
      Further Information. The Producer shall, at the
      request from time to time of IRC, provide to IRC such information as IRC
      may reasonably require for the purpose of determining the amount of
      Product derived by the Producer and the amount of Royalty to which IRC is
      entitled pursuant to this Deed.

	 	 	 
	 	(d) 	
      Inspection of Books. IRC, its agents or
      consultants may at any time during normal business hours on three (3)
      days’ prior notice to the Producer, inspect the books and records
      maintained by the Producer in relation to the Property for the purposes of
      determining and verifying the amount of the Royalty payable in accordance
      with this Deed. The Producer shall give to IRC such assistance as IRC may
      reasonably require for that purpose. IRC’s right to inspect Producer’s
      books and records that relate to any particular calendar year shall expire
      one (1) year after Producer’s delivery to IRC of the last Statement for
      that calendar year.

10

	8. 	
      Operative Period. The parties acknowledge and
      agree that the Royalty is perpetual and shall continue to be payable in
      accordance with the provisions of this Deed notwithstanding:

	 	 	 
		(i) 	
      the payment and repayment in full by the Producer of any
      credit facilities made available to it in connection with or relating to
      the Property or the Royalty; and/or

	 	 	 
		(ii) 	
      the sale or other disposition of all or any part of the
      Property.

	9. 	
      Undertakings.

	 	 	 	 
		(a) 	
      Production. The Producer undertakes, acting on a
      commercially reasonable basis:

	 	 	 	 
			(i) 	
      to cause all Product extracted or removed from the
      Property that requires treatment or refinement to be so treated and
      refined as soon as possible;

	 	 	 	 
			(ii) 	
      if there is any Stockpiled Material not located on the
      Property, the Producer will obtain an acknowledgment from owner of the
      land on which the Stockpiled Material is located that the Stockpile
      Material is subject to the rights of IRC under this Deed; and

	 	 	 	 
			(iii) 	
      material containing Minerals extracted or removed from
      re-processed materials located on or sourced from the Property are subject
      to the Royalty.

	 	 	 	 
			
      Notwithstanding the foregoing, the decision to commence
      or continue to mine, remove or process any Products from the Property is
      in the sole discretion of the Producer. The Producer shall be entitled to
      (i) make all operational decisions with respect to the methods and extent
      of mining, removing and processing of Products mined, removed or derived
      from the Property (including, for example, the decision to process by heap
      leaching rather than conventional milling), (ii) make all decisions
      related to sales or distribution of such Products, and (iii) make all
      decisions concerning temporary or long-term cessation of
  operations.

	 	(b) 	
      Expiration or Other Relinquishment. With respect
      to the unpatented mining claims included in the Property or any Property
      held by means of a leasehold interest,

	 	 	 	 
	 		(i) 	
      If (i) Producer’s rights or interest in any portion of
      the Property is due to lapse or expire and the Producer is not going to
      take steps to preserve or renew such interest or a substitute interest
      over the same area; or (ii) the Producer wishes to surrender any portion
      of the Property, then the Producer shall give to IRC not less than 60 days
      prior notice of the proposed lapse, expiration or surrender (whether
      compulsory or otherwise) together with particulars of the areas which the
      Producer wishes to surrender, and on request from IRC shall transfer such
      portion of the Property to IRC or its nominee free of encumbrances (other
      than the

11

	 		
      Royalty) for a consideration of $1.00. IRC agrees that
      any future Royalty shall not be payable by the Producer as to such a
      portion of the Property after it is transferred to IRC or its nominee
      under this Section; however, the Royalty is payable by the person who owns
      the Property so transferred.

	 	 	 
	 	(ii) 	
      For the avoidance of doubt, the parties agree that if any
      area of the Property is relinquished and subsequently reacquired by the
      Producer or any Affiliate of Producer, the Royalty will be payable on the
      Product from that portion of the Property, notwithstanding that the
      Producer is not the owner of the interest in the Property, on the same
      terms as this Deed.

	 	(c) 	
      Renewal. Except for Property identified to IRC
      under Section 9.2(a), the Producer undertakes in a timely fashion to do
      whatever is necessary to preserve in good standing its rights in the
      unpatented mining claims according to applicable Laws including, without
      limitation, the payment of all fees due for unpatented mining claims under
      the General Mining Law of 1872, as amended (“Mining Law”) and
      filing of all affidavits or other documents required to maintain the
      claims in good standing, prior to the date on which the rights in such
      Property would lapse or expire.

	 	 	 	 
	 	(d) 	
      Maintain Property. The Producer shall:

	 	 	 	 
	 		(i) 	
      pay on time all rates, taxes, rents, fees and assessments
      of every nature including rents and fees payable to the United States
      under the Mining Law, and to the State of Arizona or any local
      Governmental Authority which are levied on the Property; and

	 	 	 	 
	 		(ii) 	
      comply with (i) all provisions of the Mining Law (ii) in
      all material respects with all other Laws affecting the Property or the
      holder, occupier, mortgagee or chargee of the Property (including all work
      and expenditure obligations applicable to the Property) and (iii) in all
      material respects with all leases comprising the
  Property.

	 	(e) 	
      Smelter or Refiner. The Producer covenants and
      agrees with IRC that, with respect to Product that is to be sold to, or
      processed on behalf of Producer by a Smelter or Refiner, the Producer
      shall select a Refiner that has weights and assays acceptable to a
      generally recognized trading exchange, association or industry body within
      the applicable market for the relevant Product.

	 	 	 
	 	(f) 	
      Records. The Producer covenants and agrees with
      IRC that the Producer shall maintain accurate and proper records of mining
      operations carried out upon the Property and of all Product derived
      therefrom.

	 	 	 
	 	(g) 	
      Commingling. The Producer may commingle ore and
      Minerals from the Property with ore and Minerals from other lands and
      properties but it shall representatively measure and sample for moisture,
      metal and other appropriate content prior to
commingling.

12

	 	(i) 	
      If concentrates are produced from the commingled ores by
      the Producer, the Producer shall also calculate from representative
      samples the average recovery percentage for all concentrates produced
      during the applicable Royalty Period.

	 	 	 
	 	(ii) 	
      In obtaining representative samples, calculating the
      average grade of the ore and average recovery percentages, the Producer
      shall consult with IRC and apply the mining and metallurgical industry
      generally accepted procedures applicable to the type of mining and
      processing activity being conducted.

	 	 	 
	 	(iii) 	
      Prior to any commingling, the Producer shall notify IRC
      of the proposed arrangements for commingling and obtain IRC’s written
      consent, which consent will not be unreasonably withheld, to its proposed
      procedures for undertaking the commingling and calculating the Royalty in
      respect of the commingled ore or Minerals.

	10. 	
      Representations and Warranties. As of the date of
      this Agreement, Producer represents and warrants as follows with respect
      to the Property:

	 	 	 
		(a) 	
      Ownership. Producer owns or has a valid leasehold
      interest in the Property, as set forth on Exhibit A, subject to any
      Permitted Liens;

	 	 	 
		(b) 	
      No Prior Liens. The Property and the Royalty are
      not subject to any prior liens or encumbrances other than the Permitted
      Liens;

	 	 	 
		(c) 	
      Leases. Each lease of the Property (i) is a valid
      and subsisting lease, (ii) is in full force and effect and no default (nor
      any event which, with notice or lapse of time or both, would constitute
      such a default) has occurred or is continuing under any such lease and
      (iii) is not subject to any defenses, offsets or counterclaims and there
      have been no renewals or extensions of or supplements, modifications or
      amendments to the lease not previously disclosed to IRC;

	 	 	 
		(d) 	
      Possession. Producer is in actual possession of
      the Property and enjoys peaceful, undisturbed possession
thereof;

	 	 	 
		(e) 	
      Maintenance of Unpatented Claims. With respect to
      the unpatented mining claims included in the Property, all claim
      maintenance or rental fees and all affidavits and other filing required to
      hold the claims and maintain them in good standing with applicable
      Governmental Authorities have been made or performed; and

	 	 	 
		(f) 	
      Status as Collateral. Producer is in compliance in
      all material respects with each term, condition and provision of any
      obligation of Producer which is secured by the
Property.

13

	11. 	
      Recording; Filing. IRC may record, file or lodge
      this Deed in the county records or with any other Governmental Authority
      IRC deems necessary or desirable to protect its rights in the
    Royalty.

	 	 	 
	12. 	
      Review and Audit.

	 	 	 
		(a) 	
      Audit. IRC may from time to time on fourteen (14)
      days notice conduct an audit and review of the mining and metallurgical
      accounting conducted by the Producer in calculating the Product produced
      from the Property, using representatives qualified to conduct such an
      audit, provided, however, that this audit and review right with respect to
      any particular calendar year shall expire one (1) year after delivery to
      IRC of the last Statement with respect to such calendar year.

	 	 	 
		(b) 	
      Methodology. If it is not satisfied that the
      methodology of the mining and metallurgical accounting of the Producer is
      that of a reasonable miner, IRC shall advise Producer of deficiencies it
      determines to exist and shall provide Producer with IRC’s calculations as
      to Product produced.

	 	 	 
		(c) 	
      Adjustments. If IRC’s audit determines that the
      Royalty payments under this Deed to IRC are lower than the sums to which
      IRC is entitled, the Producer shall pay the amount of the discrepancy to
      IRC within five (5) Business Days or shall dispute IRC’s conclusions. If
      Producer disputes IRC’s conclusions or if the parties are unable to agree
      upon the methodology of the mining and metallurgical accounting, the
      matter shall be subject to the dispute resolution procedures of Section
      16.8. No adjustment shall be made with respect to any calendar year for
      which IRC has not given Producer a written notice of deficiency, pursuant
      to Section 12.2, within one year after delivery to IRC of the last
      Statement with respect to such calendar year.

	13. 	
      Assignment.

	 	 	 	 
		(a) 	
      Assignment by IRC.

	 	 	 	 
			(i) 	
      IRC may, at any time, without the consent of the Producer
      transfer by way of assignment (including, by way of security) or novation
      all or any of its rights, benefits and obligations hereunder to any person
      or persons.

	 	 	 	 
			(ii) 	
      If IRC transfers any of its rights, benefits and
      obligations hereunder pursuant to Section 13.1(a) all references in this
      Deed to IRC shall thereafter be construed as a reference to IRC and its
      transferee or transferees or, in the case of a transfer of all of its
      rights, benefits and obligations, to its transferee or transferees
      alone.

	 	(b) 	
      Assignment by Producer. If Producer or any
      successor or assign shall sell, convey, assign, encumber or otherwise
      transfer or dispose of in any manner whatsoever any interest in the
      Minerals (other than sales in the ordinary course of Producer’s business)
      or the Property or any Minerals sale contracts (any of which is referred
      to in this Section as a “Transfer”), then, as a condition to
    the

14

effectiveness of such Transfer,
Producer shall make such Transfer expressly subject to the Royalty and shall
obtain the written acknowledgement of the transferee of IRC’s Royalty and, for
Transfers other than an encumbrance, shall require the transferee to expressly
assume the obligations of Producer with respect to events and conditions
occurring after the Transfer and to pay the Royalty accruing after the Transfer
according to its terms. Upon the assumption of by the transferee of the
foregoing obligations of Producer hereunder, Producer shall be released from
performance of all obligations under this Agreement which arise after the
Transfer, except that Producer shall not be deemed released from the performance
of any obligations which relate to the period prior to the Transfer, for which
Producer shall remain primarily liable. Any Transfer in violation of this
Section shall be void and ineffective as between IRC and the Producer.

	14. 	
      No Assumption of Liability. IRC is not assuming,
      by its acceptance of this Deed or of Royalty hereunder, any liability,
      obligation or commitment of Producer, whether known or unknown, actual or
      contingent, now-existing or hereafter arising (“Excluded
      Liabilities”). The Excluded Liabilities include, but are not limited
      to, the following:

	 	 	 	 
		 	(i) 	
      Any and all obligations and liabilities of Producer
      relating to or arising from environmental or other conditions of any
      portion of the Property or from Producer’s operations related to the
      Property; and

	 	 	 	 
		 	(ii) 	
      Any and all obligations and liabilities of Producer to
      any lessor of the Property, to any contractor, to any customer of Producer
      or to any Governmental Authority.

	15. 	
      Indemnity.

	 	 	 
		(a) 	
      From Costs. The Producer agrees to indemnify and
      hold IRC harmless from all Operating Expenses, and all other costs,
      expenses, liabilities and claims arising from ownership and operation of
      the Property, disposal of waste therefrom, reclamation of the Property,
      and the marketing and sale of Product therefrom, it being understood and
      agreed between the Producer and IRC that the Royalty is a right to receive
      certain payments or Product from the Producer based upon Product produced
      from the Property and sold, but is not a right that imposes on IRC any
      associated or other obligations, to the Producer or to any other person or
      entity, including Governmental Agencies, any obligation on IRC to
      contribute to or otherwise pay any costs or expenses associated with or
      arising from such activities by the Producer.

	 	 	 
		(b) 	
      Survival. The indemnity contained in Section 15.1
      is continuing for so long as the Royalty is payable, subject to Section
      13.2.

	16. 	
      Transfer of Royalty Interest. If at any time IRC
      desires to sell or transfer all or any portion of its rights to the
      Royalty, IRC shall, on a non-exclusive basis, so advise Producer of such
      desire and of any terms and conditions upon which IRC is willing to
      entertain a proposal or offer as to a sale or transfer. If IRC solicits
      offers or bids for the

15

rights, Producer shall be given the
opportunity to make an offer or submit a bid; provided, however, that the
foregoing shall not create any right of first refusal, right of first offer or
other preemptive right in Producer to acquire any interest in rights to the
Royalty from IRC, and IRC shall have no obligation whatsoever to accept any
offer or bid from Producer, or sell or transfer any such interest to Producer,
without regard to whether Producer’s offer or bid is the high bid or best offer,
and any decision to sell or transfer to Producer or to any other party shall be
in IRC’s sole discretion.

	17. 	
      Miscellaneous.

	 	 	 	 	 
		(a) 	
      Confidentiality.

	 	 	 	 	 
			(i) 	
      Except as otherwise expressly provided in this Section,
      all information obtained in relation to the Royalty that is not generally
      known to or generally available to persons who are knowledgeable in the
      mining industry (or which is generally known or generally available only
      as a result of a breach of this Section) shall be kept confidential and
      shall not be disclosed by the parties. Disclosure of the information
      referred to in this Section 17.l may be made if the disclosure is, subject
      to Section 17.2:

	 	 	 	 	 
				(1) 	
      agreed to by the parties;

	 	 	 	 	 
				(2) 	
      required by Law or the rules or regulations of any
      securities exchange or regulatory agency;

	 	 	 	 	 
				(3) 	
      made to a bona fide purchaser of IRC’s rights under this
      Deed or the Producer’s rights or title in or to the Property;

	 	 	 	 	 
				(4) 	
      to any lender of either party;

	 	 	 	 	 
				(5) 	
      to any potential or actual partner (whether general or
      limited) in IRC; or

	 	 	 	 	 
				(6) 	
      to any joint venture partner of the
  Producer.

	 	(ii) 	
      In the case of disclosure to persons referred to in
      Sections 17.1(a)(iii), (iv), (v) and (vi) (“Recipient”), the
      disclosing party shall ensure that the Recipient complies with the terms
      of Section 17.1(a).

	 	(b) 	
      Notices. All notices, requests, demands, waivers,
      consents, appointments or other communications in connection with or
      pursuant to this Deed:

	 	 	 	 	 
	 		(i) 	
      shall be in legible writing addressed as
  follows:

	 	 	 	 	 
	 			(1) 	
      if to the Producer:

	 	 	 	 	 
	 				 Nord Resources Corporation 

        1 West Wetmore Road, Suite 203

16

	 		 Tucson, AZ 85705

	 		 Attention: President and Chief Executive Officer

	 	 	 
	 	(2) 	 if to IRC:

	 	 	 
	 		 IRC Nevada Inc. 

        c/o IRC (U.S.) Management Inc. 

        10 Inverness Dr. East, Suite 104 

        Englewood, CO 80112 

        Attention: Chief Financial Officer 

        Facsimile: (303) 799-9017

or as specified to the sender by a
party by notice;

	 	(ii) 	
      shall be signed by an Officer of the sender;

	 	 	 	 
	 	(iii) 	
      is regarded as being given by the sender and received by
      the addressee:

	 	 	 	 
	 		(1) 	
      if by delivery in person, when delivered to the
      addressee;

	 	 	 	 
	 		(2) 	
      if by post, three (3) Business Days from and including
      the date of postage; or

	 	 	 	 
	 		(3) 	
      if by facsimile transmission, on receipt of a
      transmission report confirming successful transmission in its
    entirety,

	 	(iv) 	
      if the delivery or receipt is on a day which is not a
      Business Day or is after 4:00 pm (addressee’s time) it is regarded as
      received at 9:00 am on the following Business Day; and

	 	 	 
	 	(v) 	
      can be relied on by the addressee and the addressee is
      not liable to another person for the consequences of that reliance if the
      addressee believes it to be genuine, correct and authorized by the
      sender.

	 	(c) 	
      Governing Law and Jurisdiction.

	 	 	 	 	 
	 		(i) 	
      This Deed is governed by the Laws of the State of
      Arizona.

	 	 	 	 	 
	 		(ii) 	
      The Producer irrevocably and unconditionally:

	 	 	 	 	 
	 			(1) 	
      submits and accepts the non-exclusive jurisdiction of the
      courts of Colorado; and

	 	 	 	 	 
	 			(2) 	
      waives any objection to the venue of any legal process on
      the basis that the process has been brought in an inconvenient
    forum.

17

	 	(d) 	
      Successors and Assigns and Survival. This Deed
      shall be binding upon the permitted successors, transferees and assigns of
      the Producer and be binding on and inure to the benefit of IRC and its
      successors, transferees and assigns.

	 	 	 	 
	 	(e) 	
      Documentary and Transfer Fees. The Producer shall
      pay all documentary fees, transfer fees and other costs and expenses of
      and incidental to the delivery and recording of this Deed.

	 	 	 	 
	 	(f) 	
      Amendment.

	 	 	 	 
	 		(i) 	
      The provisions of this Deed may only be amended, varied,
      supplemented or waived by a document signed by all of the parties. Any
      amendment, variation, supplement or waiver which is not contained in a
      document signed by all of the parties shall not be valid or
      enforceable.

	 	 	 	 
	 		(ii) 	
      In the event any Property subject to this Deed has been
      transferred by the Producer, this Deed may be amended, varied,
      supplemented or waived, insofar as it pertains to the Property so
      transferred, by a document signed by the successors, transferees and
      assigns of the Producer and by IRC or its successors, provided that the
      liability of Producer is not affected or increased
  thereby.

	 	(g) 	
      Counterparts. This Deed may be executed in any
      number of counterparts and by different parties hereto on separate
      counterparts, each complete set of which, when executed by all parties,
      shall be original but all such counterparts shall together constitute but
      one and the same instrument.

	 	 	 	 
	 	(h) 	
      Dispute Resolution.

	 	 	 	 
	 		(i) 	
      If the parties are unable to resolve a dispute about the
      subject matter or terms of this Deed after good faith negotiations, a
      party may, after two (2) Business Days’ notice to the other, refer the
      matter to resolution by arbitration pursuant to the Commercial Arbitration
      Rules of the American Arbitration Association, as the same may be modified
      by the terms of this Agreement (“AAA Rules”).

	 	 	 	 
	 		(ii) 	
      The arbitrator shall be appointed by agreement, or
      failing agreement after two (2) Business Days notice by one party to the
      other, shall be appointed as provided in the AAA Rules.

	 	 	 	 
	 		(iii) 	
      The arbitrator shall be an appropriately qualified expert
      with adequate knowledge of the mining industry who has no direct or
      personal interest in the outcome of the decision he or she is requested to
      make.

	 	 	 	 
	 		(iv) 	
      The decision of the arbitrator shall be final and binding
      on the parties, except in the case of manifest
error.

18

	 	(v) 	
      The costs and expenses of the arbitrator shall be borne
      in such proportions as the arbitrator may decide.

	 	 	 
	 	(vi) 	
      The parties shall provide such information as the
      arbitrator reasonably requires in order to make a determination under this
      Section.

	 	(i) 	
      Further Assurances. The parties each covenant and
      agree, upon request from the other from time to time, to execute,
      acknowledge and deliver such further instruments or documents which the
      requesting party may reasonably require in furtherance of its rights under
      this Deed.

	 	 	 
	 	(j) 	
      Force Majeure. The prevention or delay in the
      performance hereof caused by acts of war, riot, rebellion, fire, flood,
      strike, lockout, accident, equipment breakdown, lack of rail or truck
      transportation from regular point of shipment, economic shutdown of mine
      or plant facilities, shortage of raw material, unavailability of water,
      laws, regulations or requirements of any other Governmental Authority, or
      any other circumstances beyond the reasonable control of either party (any
      such event being called “Force Majeure”); shall entitle the party
      affected to suspend this Deed to the extent and for so long as its
      performance is made impracticable by such event of Force Majeure, by the
      affected party giving written notice thereof to the other party. Except
      for payment of sums becoming due at or prior to the event of Force
      Majeure, the party invoking the provisions of this Section will not be
      liable for non-performance of any obligations hereunder during
      continuation of such event; provided, however, that such party exercises
      all reasonable efforts to limit and obviate the event of Force Majeure,
      but the affected party shall not be required to settle any
  strike.

19

     IN WITNESS WHEREOF this Deed has
been duly executed and delivered as of the date above first written.

	 	NORD RESOURCES CORPORATION, 
	 	a Delaware corporation 
	 	  	  
	 	  	  
	 	By: 	/s/
      John T. Perry 
	 	  	John T. Perry 
	 	  	President 
	 	  	  
	 	IRC NEVADA INC., 
	 	a Nevada corporation 
	 	  	  
	 	  	  
	 	By: 	/s/
      Doug Silver 
	 	  	Doug Silver 
	 	  	President 

20

	State of Arizona 	) 
	  	) ss. 
	County of Pima 	) 

     The foregoing instrument was
acknowledged before me this ___ day of _______________, 2009 by John T. Perry as
President of Nord Resources Corporation, a Delaware corporation.

     Witness my hand and official
seal.

     My commission expires:
_________________

	 	 
	[SEAL] 	Notary Public 

	State of Colorado 	) 
	  	) ss. 
	County of 	) 

     The foregoing instrument was
acknowledged before me this ___ day of _______________, 2009 by
____________________________________________ as President of IRC Nevada, Inc., a
Nevada corporation.

     Witness my hand and official
seal.

     My commission expires:
_________________

	 	 
	[SEAL] 	Notary Public 

21

EXHIBIT A 
TO
ROYALTY DEED AND ASSIGNMENT OF
ROYALTY

PROPERTY

1

EXHIBIT B 
TO
ROYALTY DEED AND ASSIGNMENT OF
ROYALTY

PERMITTED LIENS

	1. 	
      As to the unpatented mining claims included in the
      Property, the paramount title of the United States of America.

	 	 	 
	2. 	
      Producer is a party to an Amended and Restated Credit
      Agreement with Nedbank Limited, as the administrative agent and lead
      arranger, which provided for a $25,000,000 secured term loan credit
      facility (the “Loan”) that has been drawn down by Producer to finance the
      reactivation of the Property. Under the Amended and Restated Credit
      Agreement, Producer has delivered:

	 	 	 
		(a) 	
      Deed of Trust from Nord Resources Corporation to First
      American Title Insurance Company for the benefit of NedBank Limited, a
      limited liability company, recorded August 3, 2007, Recording No.
      2007-0825945, Cochise County, Arizona;

	 	 	 
		(b) 	
      Collateral Account Agreement, dated July 31, 2007, among
      Producer, Nedbank Limited and wells Fargo Bank, N.A. and

	 	 	 
		(c) 	
      UCC financing statements and other security documents and
      instruments.

	 	 	 
		
      Nedbank Limited holds a first priority lien encumbering
      all of the real and personal property associated with the Property,
      including all patented mining claims, fee lands and unpatented mining
      claims in which Producer has an interest. Immediately following the
      Closing, Producer and Nedbank will enter into a Second Amended and
      Restated Credit Agreement , as well as an Amended and Restated Collateral
      Account Agreement and an Account Charge with respect to the
Loan.

	 	 	 
	3. 	
      Regulations, conditions and restrictions governing use of
      ground water pursuant to Arizona Revised Statutes 45-101 et.
seq.

	 	 	 
	4. 	
      Reservations or Exceptions in Patents, or in Acts
      authorizing the issuance thereof.

	 	 	 
	5. 	
      Established and/or existing roads, roadways, highways,
      rights-of-way and easements therefore.

	 	 	 
	6. 	
      Water rights, claims or title to water, whether or not
      shown by the public records.

	 	 	 
	7. 	
      Liabilities and obligations imposed on the land located
      within Northern Cochise County Hospital District.

	 	 	 
	8. 	
      An easement for electric lines and incidental purposes in
      the document recorded as Book 55 of Miscellaneous Records, Page
  299.

	9. 	
      An easement for telephone and telegraph lines and
      incidental purposes in the document recorded as Book 59, Page 135, of
      Miscellaneous Records.

	 	 
	10. 	
      Right of way for a road as shown in Book 2 of Maps at
      pages 7 and 58.

	 	 
	11. 	
      An easement for electric transmission lines and
      incidental purposes in the document recorded as Docket 952, Page 77 of
      Official Records.

	 	 
	12. 	
      An easement for electric transmission lines and
      incidental purposes in the document recorded as Docket 933, Page 390 of
      Official Records.

	 	 
	13. 	
      An easement for electric transmission lines and
      incidental purposes in the document recorded as Instrument No. 9411-30104
      of Official Records.

	 	 
	14. 	
      The terms and provisions contained in the document
      entitled “Access and Water Use Agreement” recorded as Instrument No.
      8701-02368 of Official Records.

	 	 
	15. 	
      The terms and provisions contained in the document
      entitled “Grant of Production Payment” recorded as Instrument no.
      9906-18419 of Official Records.

	 	 
	16. 	
      Any facts, rights, interests or claims which would be
      disclosed by a correct ALTA/ACSM survey.

3

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