Here’s my translation

Alan

Síðan sigla þeir leið sína. 
After-that they sail on their way.

Sigrgarðr spurði þá margra tíðinda en þeir leystu vel úr öllu því sem hann spurði ok var ei sá hlutr at þeir kynni ei nökkura grein á at gjöra. 
Sigrgarðr asked them (most likely but possibly þá = then) of many tidings but (and) they well explained (answered, leysa ór e-u, Z11) all those which he asked (about), and (there) was not that thing that they were not able (kunna Z10) to make some understanding about (ie to explain, gera grein á e-u, under grein, Z4, Z5).

Sigrgarðr spurði Hörð hvar hann vissi víking þann at mestr frami væri at berjast við. 
Sigrgarðr asked Hörðr where he knew that sea-rover (viking) that (it) would-be (the) greatest distinction (frami, Z3, noun) to fight against.

Hörðr sagði at í Eystrasalti væri víkingr mikill sá er Knútr inn knappi hét. 
Hörðr said that in Eystrasaltr (Baltic, lit: More-Eastern-Salt) was that great sea-rover (viking) who was-called Knútr the knob (from knappr? noun, or scanty, knappr adj? CV say just a nickname, which hardly enlightens, can´s see how Hall gets ‘brisk’).

Hann hefði fimmtán skip ok hefði aldrei ósigr fengit í bardögum, ok segir at þat væri enn meiri frami ok mannraun, at berjast við hann heldr enn við konur, þó at þær láti mikinn. 
He had fifteen ships and had never received defeat (ie had never been defeated, úsigr) in battles (gram. plural), and says that that that would-be a still greater distinction (frami, Z3) and a test-of-courage (lit: person-test) to fight against him rather than against women (plural, see following þær), even though they (ie women) comport-themselves (láta, Z7) greatly (mikill, Z5, as adv) (strut about like they own the place). (no sexism here!)

Sigrgarðr spurði hvárt hann vissi hvert hans væri at leita. 
Sigrgarðr asked whether he knew whither (one) was to seek him (leita with gen).

Hörðr kvaðst þat gjörla vita. 
Hörðr declared-of-himself to know that fully.

Sigrgarðr bað þá þangat stefna.
Sigrgarðr bade them to head (set course) thither.

Sigla þeir nú þangat til er þeir koma till þess staðar er Lóar heitir. 
They sail now till that time (þangat til) that they come to that place which is-called Lóar.

Þar var Knútr fyrir með liði sínu. 
Knútr was present (vera fyrir) there with his troops.

Hann hafði dreka; þat var mikill gersimi. 
He had a dragon (prowed warship); that was a great thing-of-value.

Jógrímr hét stafnbúi hans. 
His fo’c’sle-man was-called Jógrímr.

Hann var kallaðr skít í andliti því at nef hans var kolsvart ok kinnr báðar en hvítt hörundit annars staðar. 
He was called shit in (the) countenance (“shit-face”) because his nostrils were (ie nose was) coal-black and both cheeks but the skin white elsewhere.

Gráboli hét annarr. 
Another was-called Gráboli.

Hann hafði klaufir á fótum, ok sitt horn á hvárum vanga, ok váru þau hvöss sem spjótsoddar.
He had clefts on (his) feet (ie was cloven-footed) and a horn on his each upper-cheek (vangi), and they were sharp (neut pl of hvass) like spear-tips.

Sigrgarðr lagði til bardaga við hans menn med jafnmörgum skipum. 
Sigrgarðr laid (course) for battle against his (ie Knútr’s) men with equal-many ships.

Knútr spurði hverr þar gjörði svá gildan atróðr. 
Knútr asked who there made such a worthy (all stops out) attack (lit: a rowing-towards).

Sigrgarðr segir til sín. 
Sigrgarðr says of himself (ie gives his name).

“Várkunn er þat” segir Knútr “þótt þú vilir fjár afla, þó muntu víða þurfa til at drepa áðr skríðr í þat skarð sem meykonungrinn hefr eytt af þér í Tartaría fyrir linleika sakir karlmennsku þinnar, ok er slíkt skömm mikil at opinbera þar skamm sína sem honum má mestr hljóðr at verða.” 
“That is something-to-be-excused,” says Knútr “even-though you should-want to gain wealth (gen of fé), still you-will need to strike (drepa til e-s) at (men) far-and-wide before (it) slides (skríða, Z3) into (ie fills) that gap (ie the gap in Sigrgarðr’s manly completeness) (ie before your manly honour is restored) which the-maiden-king has cleared-out (eyða) from you (deprived you of) in Tataría for reasons of (ie due to) (the) lenity (‘softness’) of your manhood, and (it) is in-such-wise (slíkr, Z3 as adv) a great dishonour to reveal one´s-own shame (skamm = skömm) there (ie in that case) where the greatest (number of men? Masc nom sg) are able to become silent (masc nom sg adj agrees with mestr) with him. ?? can´t get this last clause to hang together)

“Litlu þætti mér þat varða,” segir hann, “ef ek yrði þér karlmaðr.” 
“That would-seem (subjunctive) to me to warrant little (ir to be of little importance),” says he, “if I should become (ie prove myself) a man (of valour) to you.”

“Nær muntu ganga verða,” segir Knútr. 
“Nearer (nær = nærr, adv) will you need to go (really should be verða at ganga),” says Knútr.

Sigrgarðr segir at þess skuli ei lengi bíða.
Sigrgarðr says that (one) shall not wait a long time for that.