Document:

White Mountain Titanium Corp.: Exhibit 10.4 - Filed by newsfilecorp.com

REGISTRATION RIGHTS AGREEMENT 

This Registration Rights Agreement (the “Agreement”) is
made and entered into as of March 16, 2016, by and between White Mountain
Titanium Corporation, a Nevada corporation (the “Company”), and NEXO WMTM
Holdings, LLC, a Delaware limited liability company (the “Shareholder”).

RECITALS: 

WHEREAS, the Shareholder concurrently with the execution of
this Agreement is acquiring shares of the Company’s Series A Preferred Stock
(the “Series A Shares”) which are convertible into the Company’s common
stock, par value $0.001 per share (the “Common Stock”); and 

WHEREAS, as a condition to such acquisition, the parties are
willing to enter into the agreements contained herein. 

NOW, THEREFORE, in consideration of the foregoing and of the
mutual covenants and agreements set forth herein, and other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, and
intending to be legally bound hereby, the parties hereto agree as follows: 

1.     Definitions.
Capitalized terms used herein and not otherwise defined shall have the meanings
set forth below: 

“Holder" or "Holders" means the holder or
holders, as the case may be, from time to time of Registrable Securities. A
holder of securities that are convertible into or exercisable for Registrable
Securities shall be deemed to be a Holder of such Registrable Securities. 

“Loan Agreement” means the Loan Agreement dated March
16, 2016, between the Company and the Shareholder. 

“Person” means an individual, a partnership, a joint
venture, a corporation, a trust, an unincorporated organization and government
or any department or agency thereof. 

“Registerable Securities” means (i) the Common Stock
issued or issuable to the Shareholder upon conversion of the Series A Shares
issued in accordance with the terms of the Loan Agreement, and (ii) any
securities issued or issuable with respect to the Common Stock referred to in
clause (i) by way of replacement, share dividend, share split or in connection
with a combination of shares, recapitalization, merger, consolidation or other
reorganization. 

“SEC” means the Securities and Exchange Commission. 

“Securities Act” means the Securities Act of 1933, as
amended, and the rules and regulations promulgated thereunder. 

2.     Demands for
Registration 

2.1     Demand Period. So long as
Series A Shares are outstanding (the “Demand Period”), subject to the
terms and conditions of this Agreement, the Shareholder will have in the
one-time right, in addition to other rights enumerated in this
Agreement, to request registration under the Securities Act of all or part of
its Registerable Securities (a “Demand Registration”). The Holders of 50%
or more of the Registerable Securities shall have the right to exercise the
registration rights under this Section 2. 

2.2     Demand Procedure. 

2.2.1     Subject to Sections 2.2.2 and
2.2.4 below, during the Demand Period any Holder or combination of Holders (the
“Demanding Shareholders”) owning 50% or more of the Registerable
Securities may deliver to the Company a written request (a “Demand
Registration Request”) that the Company register any or all such Demanding
Shareholders’ Registerable Shares. 

2.2.2     Holders, taken together, may only
make one Demand Registration Request during the Demand Period. The Company shall
only be required to file one registration statement (as distinguished from
supplements or pre-effective or post-effective amendments thereto) in response
to each Demand Registration Request. 

2.2.3     A Demand Registration Request
from Demanding Shareholders shall (i) set forth the number of Registerable
Securities intended to be sold pursuant to the Demand Registration Request; (ii)
disclose whether all or any portion of a distribution pursuant to such
registration will be sought by means of an underwriting; and (iii) identify any
managing underwriter or managing underwriters proposed for the underwritten
portion, if any, of such registration. 

2.2.4     The parties anticipate that the
registration contemplated under this Section 2 will be accomplished by means of
the filing of a Form S-1 or S-3, and that registration on such form will allow
for different means of distribution, including sales by means of an underwriting
as well as sales into the open market. If the Demanding Shareholders desire to
distribute all or part of the Registerable Securities covered by their request
by means of an underwriting, they shall so advise the Company in writing in
their initial Demand Registration Request as described in Section 2.2.3 above. A
determination of whether all or part of the distribution will be by means of an
underwriting shall be made by Demanding Shareholders holding a majority of the
Registerable Securities to be included in the registration. If all or part of
the distribution is to be by means of an underwriting, all subsequent decisions
concerning the underwriting which are to be made by the Demanding Shareholders
pursuant to the terms of this Agreement, which shall include the selection of
the underwriter or underwriters to be engaged and the representative, if any, of
the underwriters so engaged, shall be made by the Demanding Shareholders who
hold a majority of the Registerable Securities to be included in the
underwriting, subject to approval by the Board of Directors of the Company. 

2.2.5     Upon the receipt by the Company
of a Demand Registration Request in accordance with Section 2.2.4 hereof, the
Company shall, within ten (10) days following receipt of such Demand
Registration Request, give written notice of such request to all other Holders.
The Company shall include in such notice information concerning whether all,
part, or none of the distribution is expected to be made by means of an
underwriting, and, if more than one means of distribution is contemplated, may
require Holders to notify the Company of the means of distribution of their
Registerable Securities to be included in the registration. If any Holder who is
not a Demanding Shareholder desires to sell any Registerable Securities owned by
such Holder, such Holder may elect to have all or any portion of its
Registerable Securities included in the registration statement by notifying the
Company in writing (a “Supplemental Demand Registration Request”) within
twenty (20) days of receiving notice of the Demand Registration Request from the
Company. The right of any Holder to include all or any portion of its
Registerable Securities in an underwriting shall be conditioned upon the Company’s having received a timely written request for such
inclusion by way of a Demand Registration Request or Supplemental Demand
Registration Request (which right shall be further conditioned to the extent
provided in this Agreement). Any Holder proposing to distribute his, her, or its
Registerable Securities through an underwriting shall enter into an underwriting
agreement in customary form with the underwriter or underwriters selected for
such underwriting. 

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2.2.6     Notwithstanding any other
provision of this Section 2, if an underwriter advises the Company in writing
that marketing factors require a limitation on the number of shares to be
underwritten, then the number of shares of Registerable Securities that may be
included in the underwriting shall be allocated among the Holders in proportion
(as nearly as practicable) to the respective amounts of Registerable Securities
each Holder owns (or in such other proportion as they shall mutually agree).
Registerable Securities excluded or withdrawn from the underwriting in
accordance with this Section 2.2.7 shall be withdrawn from the registration.

2.3     Priority on Request
Registration. The Company will not include in any Demand Registration any
securities which are not Registerable Securities without the prior written
consent of the Holders of a majority of the shares of Registerable Securities
included in such registration. If a Demand Registration is an underwritten
offering and the managing underwriters advise the Company in writing that in
their opinion the number of Registerable Securities and, if permitted hereunder,
other securities requested to be included in such offering, exceeds the number
of securities that can be sold in an orderly manner in such offering within a
price range acceptable to the Holders of a majority of the shares of
Registerable Securities initially requesting registration, the Company will
include in such registration prior to the inclusion of any securities which are
not Registerable Securities the number of shares of Registerable Securities
requested to be included that in the opinion of such underwriters can be sold in
an orderly manner within such acceptable price range, pro rata among the
respective Holders thereof on the basis of the number of shares of Registerable
Securities owned by each such Holder. 

3.     Piggyback
Registrations 

3.1     Right to Piggyback. If the
Company proposes to undertake an offering of shares of Common Stock for its
account or for the account of other stockholders and the registration form to be
used for such offering may be used for the registration of Registerable
Securities (a “Piggyback Registration”), each such time the Company will
give prompt written notice to all Holders of Registerable Securities of its
intention to effect such a registration (each, a “Piggyback Notice”) and,
subject to Sections 3.2 and 3.3 hereof, the Company will use its best efforts to
cause to be included in such registration all Registerable Securities with
respect to which the Company has received written requests for inclusion therein
within twenty (20) days after the date of sending the Piggyback Notice. 

3.2      Priority on Primary
Registrations. If a Piggyback Registration is an underwritten primary
registration on behalf of the Company, and the managing underwriters advise the
Company in writing that in their opinion the number of securities requested to
be included in such registration exceeds the number that can be sold in an
orderly manner within a price range acceptable to the Company, the Company will
include in such registration (a) first, the securities the Company proposes to
sell, and (b) second, the Registerable Securities requested to be included in
such registration and any other securities requested to be included in such
registration that are held by Persons other than the Holders of Registerable
Securities pursuant to registration rights, pro rata among the holders of
Registerable Securities and the holders of such other securities requesting such
registration on the basis of the number of shares of such securities owned by
each such holder. 

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3.3     Priority on Secondary
Registrations. If a Piggyback Registration is an underwritten secondary
registration on behalf of holders of the Company’s securities other than the
Holders of Registerable Securities (the “Other Holders”), and the
managing underwriters advise the Company in writing that in their opinion the
number of securities requested to be included in such registration exceeds the
number that can be sold in a orderly manner in such offering within a price
range acceptable to the Other Holders requesting such registration, the Company
will include in such registration (a) first, the securities requested to be
included therein by the Other Holders requesting such registration, and (b)
second, the Registerable Securities requested to be included in such
registration hereunder, pro rata among the Holders of Registerable Securities
requesting such registration on the basis of the number of shares of such
securities owned by each such Holder. 

3.4     Selection of Underwriters.
In the case of an underwritten Piggyback Registration, the Company will have the
right to select the investment banker(s) and managers(s) to administer the
offering. 

4.     Registration
Procedures 

4.1     Registration. Whenever the
Holders of Registerable Securities have requested that any Registerable
Securities be sold pursuant to this Agreement, the Company will use its
reasonable best efforts to effect the registration and the sale of such
Registerable Securities in accordance with the intended method of disposition
thereof, and pursuant thereto the Company will as expeditiously as possible:

4.1.1     Registration Statement.
Prepare and file with the SEC a registration statement with respect to such
Registerable Securities and use its reasonable best efforts to cause such
registration statement to become effective. 

4.1.2     Amendments and
Supplements. Promptly prepare and file with the SEC such amendments and
supplements to such registration statement and the prospectus used in connection
therewith as may be necessary to keep such registration statement effective for
the period required by the intended method of disposition and the terms of this
Agreement and comply with the provisions of the Securities Act with respect to
the disposition of all securities covered by such registration statement during
such period in accordance with the intended methods of disposition by the
sellers thereof set forth in such registration statement. 

4.1.3     Provisions for Copies.
Promptly furnish to each seller of Registerable Securities the number of copies
of such registration statement, each amendment and supplement thereto, the
prospectus included in such registration statement (including each preliminary
prospectus) and such other documents as such seller may reasonably request in
order to facilitate the disposition of the Registerable Securities owned by such
seller. 

4.1.4     Blue Sky Laws. Use its
reasonable best efforts to register or qualify such Registerable Securities
under the securities or blue sky laws of such jurisdictions as any seller
reasonably requests and do any and all other acts and things which may be
reasonably necessary or advisable to enable such seller to consummate the
disposition in such jurisdictions of the Registerable Securities owned by such
seller, provided, that the Company will not be required to (a) qualify generally
to do business in any jurisdiction where it would not otherwise be required to
qualify but for this Section 4.1.4; (b) subject itself to taxation in any such
jurisdiction; or (c) consent to general service of process in any such
jurisdiction. 

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4.1.5     Anti-fraud Rules. Promptly
notify each seller of such Registerable Securities when a prospectus relating
thereto is required to be delivered under the Securities Act, of the happening
of any event as a result of which the prospectus included in such registration
statement contains an untrue statement of a material fact or omits any material
fact necessary to make the statements therein not misleading, and in such event,
at the request of any such seller, the Company will promptly prepare a
supplement or amendment to such prospectus so that, as thereafter delivered to
the purchasers of such Registerable Securities, such prospectus will not contain
an untrue statement of a material fact or omit to state any material fact
necessary to make the statements therein not misleading, provided, that the
Company will not take any action which causes the prospectus included in such
registration statement to contain an untrue statement of material fact or omit
any material fact necessary to make the statements therein not misleading,
except as permitted by Section 4.5. 

4.1.6     Securities Exchange
Listing. Use its reasonable best efforts to cause all such Registerable
Securities to be listed on each securities exchange on which securities of the
same class issued by the Company are then listed and use its reasonable best
efforts to qualify such Registerable Securities for trading on each system on
which securities of the same class issued by the Company are then qualified.

4.1.7     Underwriting Agreement.
Enter into such customary agreements (including underwriting agreements in
customary form) and take all such other actions as the holders of a majority of
the shares of Registerable Securities being sold or the underwriters, if any,
reasonably request in order to expedite or facilitate the disposition of such
Registerable Securities. 

4.1.8     Due Diligence. Make
available for inspection by any underwriter participating in any disposition
pursuant to such registration statement and any attorney, accountant, or other
agent retained by any such underwriter, all financial and other records,
pertinent corporate documents and properties of the Company, and cause the
Company’s officers, directors, employees, and independent accountants to supply
all information reasonably requested by any such underwriter, attorney,
accountant, or agent in connection with such registration statement. 

4.1.9     Deemed Underwriters or
Controlling Persons. Permit any Holder of Registerable Securities which
Holder, in such Holder’s reasonable judgment, might be deemed to be an
underwriter or a controlling person of the Company, to participate in the
preparation of such registration or comparable statement and to require the
insertion therein of material in form and substance satisfactory to such Holder
and to the Company, and furnished to the Company in writing, which in the
reasonable judgment of such Holder and its counsel should be included. 

4.1.10     Management Availability.
In connection with underwritten offerings, make available appropriate management
personnel for participation in the preparation and drafting of such registration
or comparable statement, for due diligence meetings and for “road show”
meetings. 

4.1.11     Stop Orders. Promptly
notify Holders of the Registerable Securities of the threat of issuance by the
SEC of any stop order suspending the effectiveness of the registration statement
or the initiation of any proceeding for that purpose, and make every reasonable
effort to prevent the entry of any order suspending the effectiveness of the
registration statement. In the event of the issuance of any stop order
suspending the effectiveness of a registration statement, or of any order
suspending or preventing the use of any related prospectus or suspending the
qualification of any Registerable Securities included in such registration statement
for sale in any jurisdiction, the Company will use its reasonable best efforts
promptly to obtain the withdrawal of such order. 

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4.1.12   Opinions. At each closing of an
underwritten offering, request opinions of counsel to the Company and updates
thereof (which opinions and updates shall be reasonably satisfactory to the
underwriters of the Registerable Securities being sold) addressed to the
underwriters covering the matters customarily covered in opinions requested in
underwritten offerings and such other matters as may be reasonably requested by
such Holders or their counsel. 

4.2     Further Information.
The Company may require each Holder of Registerable Securities to furnish to the
Company in writing such information regarding the proposed distribution by such
Holder of such Registerable Securities as the Company may from time to time
reasonably request. 

4.3     Notice to Suspend Offers and
Sales. Each Holder severally agrees that, upon receipt of any notice from
the Company of the happening of any event of the kind described in Sections
4.1.5 or 4.1.11 hereof, such Investor will forthwith discontinue disposition of
shares of Common Stock pursuant to a registration hereunder until receipt of the
copies of an appropriate supplement or amendment to the prospectus under Section
4.1.5 or until the withdrawal of such order under Section 4.1.11. 

4.4     Reference to Holders. If any
such registration or comparable statement refers to any Holder by name or
otherwise as the holder of any securities of the Company and if, in the Holder’s
reasonable judgment, such Holder is or might be deemed to be a controlling
person of the Company, such Holder shall have the right to require (a) the
insertion therein of language in form and substance satisfactory to such Holder
and the Company, and presented to the Company in writing, to the effect that the
holding by such Holder of such securities is not to be construed as a
recommendation by such Holder of the investment quality of the Company’s
securities covered thereby and that such holding does not imply that such Holder
will assist in meeting any future financial requirements of the Company, or (b)
in the event that such reference to such Holder by name or otherwise is not
required by the Securities Act or any similar Federal statute then in force, the
deletion of the reference to such Holder, provided that with respect to this
clause (b) such Holder shall furnish to the Company an opinion of counsel to
such effect, which opinion and counsel shall be reasonably satisfactory to the
Company. 

4.5     Company’s Ability to
Postpone. Notwithstanding anything to the contrary contained herein, the
Company shall have the right twice in any twelve month period to postpone the
filing of any registration statement under Sections 2 or 3 hereof or any
amendment or supplement thereto for a reasonable period of time (all such
postponements not exceeding ninety (90) days in the aggregate in any twelve
month period) if the Company furnishes the Holders of Registerable Securities a
certificate signed by the Chairman of the Board of Directors or the President of
the Company stating that, in its good faith judgment, the Company’s Board of
Directors (or the executive committee thereof) has determined that effecting the
registration at such time would materially and adversely affect a material
financing, acquisition, disposition of assets or stock, merger or other
comparable transaction, or would require the Company to make public disclosure
of information the public disclosure of which would have a material adverse
effect upon the Company. 

5.     Registration
Expenses 

5.1     Expense Borne by Company.
Except as specifically otherwise provided in Section 5.2 hereof, the Company
will be responsible for payment of all expenses incident to any registration hereunder, including, without limitation, all
registration and filing fees, fees and expenses of compliance with securities or
blue sky laws, printing expenses, messenger and delivery expenses, road show
expenses, advertising expenses and fees and disbursements of counsel for the
Company and all independent certified public accountants and other Persons
retained by the Company in connection with such registration (all such expenses
borne by the Company being herein called the “Registration Expenses”). 

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5.2     Expense Borne by Selling
Security Holders. Each selling security holder will be individually
responsible for payment of his, her, or its own legal fees (if the selling
security holder retains legal counsel separate from that of the Company),
underwriting fees and brokerage discounts, commissions and other sales expenses
incident to any registration hereunder. Any other expenses to be borne by the
selling security holders which are common to all of the selling security holders
shall be divided among such security holders (including the Company and holders
of the Company’s securities other than Registerable Securities, to the extent
that securities are being registered on behalf of such Persons) pro rata on the
basis of the number of shares being registered on behalf of each such security
holder, or as such security holders may otherwise agree. 

6.     Indemnification
Section 

6.1     Indemnification by Company.
The Company agrees to indemnify, to the fullest extent permitted by law, each
Holder of Registerable Securities and each Person who controls (within the
meaning of the Securities Act) such Holder against all loses, claims, damages,
liabilities, and expenses in connection with defending against any such losses,
claims, damages, or liabilities, or in connection with any investigation or
inquiry, in each case caused by or based on any untrue or alleged untrue
statement of material fact contained in any registration statement, prospectus,
or preliminary prospectus or any amendment thereof or supplement thereto, or any
omission or alleged omission of a material fact required to be stated therein or
necessary to make the statements therein not misleading, or arise out of any
violation by the Company of any rules or regulations promulgated under the
Securities Act applicable to the Company and relating to action or inaction
required of the Company in connection with such registration, except insofar as
the same are (i) contained in any information furnished in writing to the
Company by such Holder expressly for use therein; (ii) caused by such Holder’s
failure to deliver a copy of the registration statement or prospectus or any
amendments or supplements thereto; or (iii) caused by such Holder’s failure to
discontinue disposition of shares after receiving notice from the Company
pursuant to Section 4.3 hereof. In connection with an underwritten offering, the
Company will indemnify such underwriters, their officers and directors and each
Person who controls (within the meaning of the Securities Act) such underwriters
at least to the same extent as provided above with respect to the
indemnification of the Holders of Registerable Securities. 

6.2     Indemnification by Holder.
In connection with any registration statement in which a Holder of Registerable
Securities is participating, each such Holder will furnish to the Company in
writing such information as the Company reasonably requests for use in
connection with any such registration statement or prospectus and, to the extent
permitted by law, will indemnify the Company, its directors and officers and
each Person who controls (within the meaning of the Securities Act) the Company
against any losses, claims, damages, liabilities and expenses resulting from any
untrue or alleged untrue statement of material fact contained in the
registration statement, prospectus or preliminary prospectus or any amendment
thereof or supplement thereto or any omission or alleged omission of a material
fact required to be stated therein or necessary to make the statements therein
not misleading, but only to the extent that such untrue statement or omission is
contained in any information so furnished in writing by such Holder expressly
for use in connection with such registration; provided that the obligation to indemnify will be individual to each Holder and will be
limited to the net amount of proceeds received by such Holder from the sale of
Registerable Securities pursuant to such registration statement. In connection
with an underwritten offering, each such Holder will indemnify such
underwriters, their officers and directors and each Person who controls (within
the meaning of the Securities Act) such underwriters at least to the same extent
as provided above with respect to the indemnification of the Company. 

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6.3     Assumption of Defense by
Indemnifying Party. Any Person entitled to indemnification hereunder will
(a) give prompt written notice to the indemnifying party of any claim with
respect to which it seeks indemnification and (b) unless in such indemnified
party’s reasonable judgment a conflict of interest between such indemnified and
indemnifying parties may exist with respect to such claim, permit such
indemnifying party to assume the defense of such claim with counsel reasonably
satisfactory to the indemnified party. If such defense is assumed, the
indemnifying party will not be subject to any liability for any settlement made
by the indemnified party without its consent (but such consent will not be
unreasonably withheld). An indemnifying party who is not entitled to, or elects
not to, assume the defense of a claim will not be obligated to pay the fees and
expenses of more than one counsel for all parties indemnified by such
indemnifying party with respect to such claim, unless in the reasonable judgment
of any indemnified party a conflict of interest may exist between such
indemnified party and any other of such indemnified parties with respect to such
claim. 

6.4     Binding Effect. The
indemnification provided for under this Agreement will remain in full force and
effect regardless of any investigation made by or on behalf of the indemnified
party or any officer, director, or controlling Person of such indemnified party
and will survive the transfer of securities. The Company also agrees to make
such provisions, as are reasonably requested by any indemnified party, for
contribution to such party in the event the Company’s indemnification is
unavailable for any reason. Each Holder of Registerable Securities also agrees
to make such provisions, as are reasonably requested by any indemnified party,
for contribution to such party in the event such Holder’s indemnification is
unavailable for any reason. 

7.     Participation in
Underwritten Registrations

No Person may participate in any registration hereunder which
is underwritten unless such Person (a) agrees to sell such Person’s securities
on the basis provided in any underwriting arrangements approved by the Person or
Persons entitled hereunder to approve such arrangements, and (b) completes and
executes all questionnaires, powers of attorney, indemnities, underwriting
agreements, and other documents required under the terms of such underwriting
arrangements. 

8.     Miscellaneous.

8.1     Amendments. No alteration of
or amendment to this Agreement shall be effective unless given in writing and
signed by the party or parties sought to be charged or bound by the alteration
or amendment.

8.2     Governing Law and Venue.
This Agreement shall be governed by and construed in accordance with the laws of
the State of Delaware, without reference to the choice of law principals
thereof. The Parties hereto irrevocably submit to the jurisdiction of the Courts
of the State of Utah located in Salt Lake County and the United States District
Court of Utah in any action arising out of or relating to this Agreement, and
hereby irrevocably agree that all claims in respect of such action may be heard
and determined in such state or federal court. The Parties hereto irrevocably
waive, to the fullest extent they may effectively do so, the defense of an
inconvenient forum to the maintenance of such action or proceeding. The Parties
further agree, to the extent permitted by law, that final and unappealable
judgment against any of them in any action or proceeding contemplated above
shall be conclusive and may be enforced in any other jurisdiction within or
outside the United States by suit on the judgment, a certified copy of which
shall be conclusive evidence of the fact and amount of such judgment. To the
extent any party hereto has or hereafter may acquire any immunity from
jurisdiction of any court or from any legal process (whether through service or
notice, attachment prior to judgment, attachment in aid of execution, execution
or otherwise) with respect to itself or its property, each of the Parties hereto
hereby irrevocably waives such immunity in respect of its obligations under this
Agreement. 

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8.3     Waiver of Jury Trial. TO THE
EXTENT PERMITTED BY APPLICABLE LAW, EACH OF THE PARTIES HEREBY WAIVES ANY RIGHT
TO TRIAL BY JURY ON ANY CLAIM, COUNTERCLAIM, SETOFF, DEMAND, ACTION OR CAUSE OF
ACTION ARISING OUT OF OR IN ANY WAY PERTAINING OR RELATING TO THIS AGREEMENT OR
THE OTHER LOAN DOCUMENTS, OR IN ANY WAY CONNECTED WITH OR PERTAINING OR RELATED
TO OR INCIDENTAL TO ANY DEALINGS OF THE PARTIES HERETO WITH RESPECT TO THIS
AGREEMENT OR THE OTHER LOAN DOCUMENTS, OR IN CONNECTION WITH THE TRANSACTIONS
RELATED THERETO OR CONTEMPLATED THEREBY OR THE EXERCISE OF ANY PARTY’S RIGHTS
AND REMEDIES THEREUNDER, IN ALL OF THE FOREGOING CASES WHETHER NOW EXISTING OR
HEREAFTER ARISING, AND WHETHER SOUNDING IN CONTRACT, TORT OR OTHERWISE. EACH
PARTY AGREES THAT ANY OTHER PARTY MAY FILE A COPY OF THIS PARAGRAPH WITH ANY
COURT AS WRITTEN EVIDENCE OF THE KNOWING, VOLUNTARY AND BARGAINED AGREEMENT OF
EACH PARTY IRREVOCABLY TO WAIVE ITS RIGHTS TO TRIAL BY JURY, AND THAT ANY
DISPUTE OR CONTROVERSY WHATSOEVER BETWEEN ANY OF THE PARTIES SHALL INSTEAD BE
TRIED IN A COURT OF COMPETENT JURISDICTION BY A JUDGE SITTING WITHOUT A JURY.
EACH PARTY HEREBY ACKNOWLEDGES THAT THIS PROVISION MAY NOT BE ORALLY WAIVED AND
CERTIFIES THAT NO REPRESENTATIVE OR AGENT OF ANY OTHER PARTY, INCLUDING THAT
PARTY’S COUNSEL, HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH PARTY WOULD
NOT, IN THE EVENT OF SUCH DISPUTE OR CONTROVERSY, SEEK TO ENFORCE THE PROVISIONS
OF THIS PARAGRAPH, AND EACH PARTY ACKNOWLEDGES THAT EACH OTHER PARTY HAS, IN
PART, BEEN INDUCED TO ENTER INTO THIS AGREEMENT IN RELIANCE ON THE PROVISIONS OF
THIS PARAGRAPH. 

8.4     Caption Headings. Caption
headings in this Agreement are for convenience purposes only and are not to be
used to interpret or define the provisions of this Agreement.

8.5     Notices. Any notice, demand,
request, waiver or other communication required or permitted to be given
pursuant to this Agreement must be in writing (including electronic format) and
will be deemed by the Parties to have been received (i) upon delivery in person
(including by reputable express courier service) at the address set forth below;
(ii) upon delivery by facsimile (as verified by a printout showing satisfactory
transmission) at the facsimile number designated below (if sent on a business
day during normal business hours where such notice is to be received and if not,
on the first business day following such delivery where such notice is to be
received); (iii) upon delivery by electronic mail (as verified by a printout
showing satisfactory transmission) at the electronic mail address set forth
below (if sent on a business day during normal business hours where such notice
is to be received and if not, on the first business day following such delivery
where such notice is to be received); or (iv) upon three business days after
mailing with the United States Postal Service if mailed from and to a
location within the continental United States by registered or certified mail,
return receipt requested, addressed to the address set forth below. Any party hereto may
from time to time change its physical or electronic address or facsimile number
for notices by giving notice of such changed address or number to the other
party in accordance with this section. 

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	 	If to the Company at: 	Augusto Leguia 100, Oficina 1401, Las
      Condes 
	 	  	Santiago, Chile 
	 	  	Attention: Michael P. Kurtanjek, CEO 
	 	  	Facsimile No.: 
	 	  	Email Address: 
	 	  	  
	 	With a copy (which will not 	  
	 	constitute notice) to: 	Ronald N. Vance 
	 	  	The Law Office of Ronald N. Vance &
      Associates, 
	 		P.C.  
	 	  	1656 Reunion Avenue 
	 	  	Suite 250 
	 	  	South Jordan, UT 84095 
	 	  	Facsimile No. (801) 446-8803 
	 	  	Email Address: ron@vancelaw.us 
	 	  	  
	 	If to the Shareholder at: 	  
	 	  	  
	 	  	Attention: 
	 	  	Facsimile No.: 
	 	  	Email Address: 
	 	  	  
	 	With a copy (which will not 	  
	 	constitute notice) to: 	  
	 	  	  
	 	  	  
	 	  	Attention: 
	 	  	Facsimile No.: 
	 	  	Email Address: 

8.6     Severability. If a court of
competent jurisdiction finds any provision of this Agreement to be invalid or
unenforceable as to any party, such finding shall not render that provision
invalid or unenforceable as to any other Persons. If feasible, any such
offending provision shall be deemed to be modified to be within the limits of
enforceability or validity; however, if the offending provision cannot be so
modified, it shall be stricken and all other provisions of this Agreement in all
other respects shall remain valid and enforceable.

8.7     Successors and Assigns. All
covenants and agreements contained by or on behalf of any party shall bind its
successors and assigns and shall inure to the benefit of the other Parties,
their successors and assigns.

8.8     Entire Agreement. This
Agreement constitutes the entire understanding among the Parties hereto with
respect to the subject matter hereof and supersedes all negotiations, representations, prior discussions, and preliminary agreements
between any of the Parties hereto relating to the subject matter of this
Agreement. 

10

8.9     Time Is of the Essence. Time
is of the essence in the performance of this Agreement and the obligations
created hereby.

8.10     Waiver. No party shall not
be deemed to have waived any rights under this Agreement unless such waiver is
given in writing and signed by the subject party. No delay or omission on the
part of any party in exercising any right shall operate as a waiver of such
right or any other right. A waiver by any party of a provision of this Agreement
shall not prejudice or constitute a waiver of such party’s right otherwise to
demand strict compliance with that provision or any other provision of this
Agreement. No prior waiver by any party, nor any course of dealing between any
Parties, shall constitute a waiver of any of such party’s rights or of any
obligations of any other party as to any future transactions. Whenever the
consent of a party is required under this Agreement, the granting of such
consent by such party in any instance shall not constitute continuing consent in
subsequent instances where such consent is required, and in all cases such
consent may be granted or withheld in the sole discretion of Lender.

8.11     Governing Language. This
Agreement has been prepared in the English language and the English language
shall control its interpretation. All consents, notices, reports and other
written documents to be delivered or provided by a party under this Agreement
shall be in the English language, unless otherwise agreed by the receiving
party, and in the event of any conflict between the provisions of any document
and the English language translation thereof, the terms of the English language
translation shall control. 

8.12     Counterparts. This
Agreement may be executed in any number of counterparts, each of which, when
executed and delivered, shall be an original, but such counterparts shall,
together, constitute one and the same instrument. This Agreement, the other Loan
Agreements, and each other agreement or instrument entered into in connection
herewith or therewith or contemplated hereby or thereby, and any amendments
hereto or thereto, to the extent signed and delivered by means of a
photographic, photostatic, facsimile or similar reproduction of such signed
writing using a facsimile machine or e-mail shall be treated in all manner and
respects as an original agreement or instrument and shall be considered to have
the same binding legal effect as if it were the original signed version thereof
delivered in person. At the request of any party hereto or to any such agreement
or instrument, each other party hereto or thereto shall reexecute original forms
thereof and deliver them to all other Parties. No party hereto or to any such
agreement or instrument shall raise the use of a facsimile machine or e-mail to
deliver a signature or the fact that any signature or agreement or instrument
was transmitted or communicated through the use of a facsimile machine or e-mail
as a defense to the formation or enforceability of a contract and each such
party forever waives any such defense. 

8.13     Remedies. Any Person having
rights under any provision of this Agreement will be entitled to enforce such
rights specifically to recover damages caused by reason of any breach of any
provision of this Agreement and to exercise all other rights granted by law. The
parties hereto agree and acknowledge that money damages may not be an adequate
remedy for any breach of the provisions of this Agreement and that any party may
in his, her, or its sole discretion apply to any court of law or equity of
competent jurisdiction (without posting any bond or other security) for specific
performance and for other injunctive relief in order to enforce or prevent
violation of the provisions of this Agreement. 

[SIGNATURE PAGE FOLLOWS] 

11

SIGNATURE PAGE 

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

	THE COMPANY: 	White Mountain Titanium
      Corporation 
	  	  
	  	  
	  	By 	/s/ Michael P. Kurtanjek 
	  		Michael P. Kurtanjek, Interim CEO
    
	  	  
	  	  
	  	  
	  	  
	THE SHAREHOLDER: 	NEXO WMTM HOLDINGS, LLC 
	  	  
	  	  
	  	By 	/s/ Andrew G. Sloop 
	  		Name: Andrew G. Sloop 
	  		Title: Partner

12White Mountain Titanium Corp.: Exhibit 10.5 - Filed by newsfilecorp.com

ASSIGNMENT OF DEVELOPMENT RIGHTS 
OF 
CERRO
BLANCO DESALINATION PLANT 

This Assignment of Development Rights
(“Development Assignment”) is made effective as of the 16th
day of March, 2016 (the “Effective Date”) by and between: 

 NEXO Water
Ventures, LLC, a limited liability company organized and existing under the
laws of the State of Delaware, with its principal place of business located at
68 South Main Street, 8th Floor, Salt Lake City, UT 84101 (the
“Developer”), 

and 

White Mountain Titanium, Corp. a
corporation organized and existing under the laws of the State of Nevada, with
its principal place of business located at 225 S. Lake Avenue, Suite 300
Pasadena, CA 9110 and its wholly owned subsidiary Sociedad Contractual Minera
White Mountain Titanium, organized and existing under the laws of the
country of Chile, with its principal place of business located at 100 Augusto
Leguia, Suite 1401 Las Condes, Santiago, Chile (together as “White
Mountain”) (each, a “Party” and collectively, the “Parties”).

Unless otherwise defined within this Development Assignment,
certain capitalized terms are defined in Section 9 of the Loan Agreement. 

R E C I T A L S 

WHEREAS, White Mountain has good and marketable title and also
holds Good and Defensible Title to the Cerro Blanco Project which includes the
right to develop and cause to establish a seawater desalination plant at the
Cerro Blanco Project (“Desal Plant”) pursuant to its operative EIS and
other applicable regulatory permits; 

WHEREAS, subject to the conditions set forth in this
Development Assignment, White Mountain is now interested in transferring,
creating step-in rights, and conditionally assigning its Development Rights to
Developer and Developer is interested in accepting all such rights pursuant to
this Development Assignment. 

NOW, THEREFORE, for good and valuable consideration, the
receipt and sufficiency of are hereby acknowledged, the Parties agree as
follows: 

	1. 	
      Assignment of Development
Rights.

1.1     Assignment. Subject to the
conditions set forth within this Development Assignment, White Mountain hereby
assigns, grants, transfers, creates step-in rights, and conveys to Developer all
of its development rights, privileges and entitlements with respect to the Desal
Plant as set forth in Section 1.2 (“Development Rights”) of this
Development Assignment. 

1.2     Development Rights. During
the (i) Term of this Development Assignment; (ii) surviving any Event of
Default, satisfaction, or conversion of the Convertible Promissory Note into
Series A Shares; and (iii) in good faith consultation with White Mountain,
Developer will have the unilateral discretion and exclusive right to perform the
following: 

	 	(a) 	
      Provide, arrange, and or facilitate the financing (both
      in terms of the equity and project finance) (“Development Funding”)
      as needed for the requisite Desal Plant CAPEX;

	 	 	
       

	 	(b) 	
      Negotiate and execute all needed project management
      agreements with the water technology company of Developer’s exclusive
      selection (“Operating Water Company”) which will supply the
      technology, equipment, operations and maintenance required for the Desal
      Plant;

	 	 	
       

	 	(c) 	
      Exclusively select any and all engineering, EPC, and
      other service providers as deemed necessary or required for the
      construction and operation of the Desal Plant; and

	 	 	
       

	 	(d) 	
      Developer shall be the exclusive provider of the
      Development Funding and assignee of Development Rights and White Mountain
      shall not retain, hire, or engage in discussions with any other party
      regarding the provision of services similar to the Development Funding or
      Development Rights in respect of any
jurisdiction.

	2. 	
      White Mountain
Responsibilities.

2.1     White Mountain Assistance.
During the Term of this Development Assignment, White Mountain agrees to perform
the following responsibilities as they pertain to the development of the Desal
Plant: 

	 	(a) 	
      Work in good faith with Developer by immediately
      allocating reasonable and necessary resources such as time by its
      directors and or officers to establish legally binding offtake
      agreement(s) with external third parties for treated water arising from
      the Desal Plant;

	 	 	
	 	(b) 	
      Work in good faith with Developer to establish a legally
      binding offtake agreement (i) between White Mountain and the eventual
      Project Entity that will independently own the Desal Plant (ii) which
      ensures the that the mining operations at the Cerro Blanco Project will
      have its required uninterrupted water supply. It is expected that the
      total volume needed for the mining operations at the Cerro Blanco Project
      will not exceed 250 liters per second;

	 	 	
	 	(c) 	
      In the event that the demand for water produced by the
      Desal Plant is in excess of 1,000 liters per second, White Mountain will
      work in good faith with Developer and provide necessary internal resources
      to obtain the necessary modifications to the EIS and other required
      permits to increase the volume of permitted intake of seawater into the
      Desal Plant; and

2 

	 	(d) 	
      Work in good faith with Developer to facilitate any other
      rights, contracts, and or other easements which may arise during the
      development of the Desal Plant as determined by Developer and White
      Mountain.

	3. 	
      Desal Plant Ownership:

3.1     Project Entity. In the event
that Development Funding requires that a new entity be created for the
establishment of the Desal Plant (a “Project Entity”), then the Parties
agree to the ownership ratio in the Project Entity as set forth in Section 3.2
of this Development Assignment. 

3.2     Equity Split.

(a) In addition to the payments made to
Developer under the operative offtake agreement, the Developer and its
affiliates shall maintain at least an 80% interest in the Desal Plant
(“Developer Equity”). White Mountain shall receive no greater than 20%
interest in the Desal Plant (“White Mountain Equity”). The Parties agree
that the Equity Split may be structured in any manner determined appropriate by
the Developer and or its affiliates, in their sole discretion, which may
include, among other things, a direct equity interest in Desal Plant, an
interest in the profits of the Desal Plant, or any other interest which provides
Developer with a direct or indirect interest in the Desal Plant. 

(b) In the event that the Parties
determine that debt financing for the Desal Plant would be in the best interests
of all the Parties, Developer and White Mountain will negotiate in good faith to
determine an equity split which is within industry standards for such a debt
financed project. 

3.3     White Mountain Water
Provided by the Project Entity. As referenced in Section 2.1(b), Parties
shall establish a mutually agreed upon binding offtake agreement to supply the
mining operations at the Cerro Blanco Project with the uninterrupted water
supply required for commercial operation of the Cerro Blanco Project. White
Mountain will enter into a binding offtake agreement with the Project Entity to
purchase a minimum of 200 liters per second water from the Desal Plant for use
in its mining operations at the Cerro Blanco Project at market prices or other
preferred arrangement corresponding to the Development Funding needs. 

3.4     Developer Interests. In
addition to any Equity Split in the Project Entity, Developer shall also
receive: 

	 	a) 	
      The same class and type of equity as White
    Mountain;

	 	 	
       

	 	b) 	
      Customary drag-along and tag-along rights, such that it
      shall receive the right to exit on the same terms as White
  Mountain;

	 	 	
       

	 	c) 	
      A right of first refusal in respect of any sale or
      transfer of White Mountain’s interest in the Project Entity;

	 	 	
       

	 	d) 	
      The right to appoint at least one director, manager or
      equivalent position of the Project Entity, which individual shall have
      input with respect to business development issues;

3 

	 	e) 	
      Preemptive rights in respect of any new equity issued in
      the Project Entity, such that Developer will have the right to maintain
      its percentage equity ownership;

	 	 	
       

	 	f) 	
      The right to approve material transactions relating to
      the Project Entity, including, without limitation, capital expenditures, a
      sale of all or substantially all of the assets of the Project Entity, any
      new issuance of equity of the Project Entity, any change in the rights of
      the terms of the equity granted to Developer, the creation of any class of
      equity of the Project Entity, and the admission of any new member or
      stockholder of the Project Entity; and

	 	 	
       

	 	g) 	
      The ability to put its equity interest in the Project
      Entity to White Mountain or the Project Entity at a price equal to fair
      market value upon the occurrence of certain events, including a breach or
      violation by White Mountain of any of the terms set forth within this
      Development Assignment.

	4. 	
      Costs and Expenses.

4.1     The Parties Expenses. Except
as explicitly provided in this Development Assignment, each of the Parties shall
bear their own expenses incurred in connection with the preparation,
negotiation, execution and performance of this Development Assignment, including
the provision of the Development Rights hereunder.

	5. 	
      Non-Solicitation of
Personnel.

During the Term of this Development Assignment and for a period
of one (1) year following its expiration or termination, neither party shall
directly approach, counsel, or attempt to induce any person who is then an
employee or independent consultant of the other party to terminate his or her
employment with or engagement by the other party, or employ, engage or attempt
to employ or engage any such person. Notwithstanding the foregoing, both parties
agree that each party may publicly post job offerings in the normal course of
business, and such posting and any employment or engagement resulting therefrom
shall not breach the above prohibitions in this paragraph. 

	6. 	
      Non-Competition.

During the Term of this Development Assignment and for a period
of two (2) years following its expiration or termination, White Mountain shall
not, directly or indirectly, own, manage, control, participate in, consult with,
render services for, receive any economic benefit from or exert any influence
upon, or in any manner engage in or represent any business within Latin America
that is competitive with the Developer. 

	7. 	
      Confidential Information.

7.1     The Parties have an existing mutual
nondisclosure agreement dated June 23, 2015 which is also incorporated into this
Development Assignment. 

4 

	8. 	
      Term.

This Development Assignment shall continue in full force and
effect for a period of forty-eight (48) months from the Effective Date and shall
automatically be extended for additional one (1) year at the Developer’s sole
discretion.

8.1     Good Faith Duty within Term.
During the Term of this Development Assignment, the Parties agree that Developer
shall only continue to have Development Rights (i) as long as Developer
continues to work and perform under good faith and (ii) in the event that
Developer does not perform under Section 1.2(a) of this Development Assignment
by providing, arranging, or facilitating a financial commitment for phase one
for the Desal Plant and or the Project Entity within eighteen (18) months of the
Effective Date, the Developer shall not maintain its Development Rights unless
agreed to in writing by the Parties. 

	9. 	
      Notice.

Any notices required or allowed hereunder shall be in writing
and given by registered air mail letter, recognized international courier, or by
email to the parties at the following addresses or to such other address as may
be furnished by one party to the other: 

Developer: 

NEXO Water Ventures, LLC 
68
South Main St., 8th Floor 
Salt Lake City, UT 84101 
Attn: Andrew Sloop

asloop@nexocapitalpartners.com 

White Mountain: 

White Mountain Titanium
Corp
225 S. Lake Avenue, Suite 300
Pasadena, CA 9110 
Attn: Ron
Vance
ron@vancelaw.us 

	10. 	
      Independent Contractors.

This Development Assignment does not create a principal or
agent, employer or employee, partnership, joint venture, or any other
relationship except that of independent contractors between the parties. Nothing
contained herein shall be construed to create or imply a joint venture,
principal and agent, employer or employee, partnership, or any other
relationship except that of independent contractors between the parties, and
neither party shall have any right, power or authority to create any obligation,
express or implied, on behalf of the other in connection with the performance
hereunder. 

5 

	11. 	
      Authority.

Each of the Parties represents and warrants that it has full
organizational power and authority to enter into this Development Assignment;
that this Development Assignment is a binding and enforceable obligation of such
party, subject to bankruptcy, insolvency and other laws affecting creditors’
rights generally; and that the individual executing this Development Assignment
on behalf of such party has all necessary power and authority to bind such party
as set forth herein. 

	12. 	
      Assignment.

This Development Assignment may be transferred or assigned by
Developer without the prior written consent of White Mountain; either party,
without written consent but with notice to the other Party, may assign its
rights and obligations under this Development Assignment in connection with a
transfer or sale of all or substantially all its assets or to a successor entity
or acquirer in the event of a merger, consolidation or change of control of
either party. 

	13. 	
      Entire Agreement.

This Development Assignment constitutes the entire agreement
and understanding between the Developer and White Mountain with respect to the
subject matter hereof and supersedes and replaces all prior understandings
and/or agreements with respect thereto. 

	14. 	
      Governing Law; Venue.

This Development Assignment shall be governed by and
interpreted in accordance with the laws of the State of Delaware, without regard
to its principles of conflicts of laws. The Parties agree that the venue for any
dispute, action or claim arising out of this Development Assignment shall be the
State of Utah and consent to submit to the jurisdiction of any state or federal
court located in the State of Utah in connection with any such dispute, action
or claim. 

	15. 	
      Counterparts; Facsimiles.

This Development Assignment may be executed in any number of
counterparts, but all of such counterparts together shall constitute one and the
same Development Assignment. Facsimile or electronic PDF transmission of
executed pages shall constitute valid execution and delivery. 

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

	DEVELOPER 	 	WHITE MOUNTAIN 
	  	  	 	  	  
	  	  	 	  	  
	  	  	 	  	  
	By: 	/s/ Andrew G. Sloop 	 	By: 	/s/ Michael P. Kurtanjek 
		Name: Andrew G. Sloop 	 		Name: Michael P. Kurtanjek 
		Title: Partner 	 		Title: Interim Chief Executive Officer
  

6

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