Þeir mættust nú Knútr ok Sigrgarðr. 

Knutr and Sigrgardr now met one another (in battle).

Knútr lagði til hans með kesjunni þeirri er ávallt varð manns bani. 

Knutr thrust at him with the halberd which always was a man's death.

Sigrgarðr stökk í loptit, en spjótit kom í lokugatit á vindásinum ok gat hann ei aptr kippt. 

Sigrgardr leapt in the air, and/but the spear landed on the latch-hole at the windlass and he wasn't able to snatch it back.

Sigrgarðr kom niðr á spjótskaptit ok braut í sundr fyrir framan hendr honum. 

Sigrgardr came down on the the shaft of the spear and broke it apart in front of his hands.

Hjó hann þá til Knúts. 

He then struck at Knutr.

Knútr sá ei færi sitt til úrræða, hljóp hann þá fyrir borð, sverðit kom á borðstokkinn, ok var undir járnboltr mikill. 

Knutr didn't see his opportunity for help, he then leapt overboard, his sword landed on the gunwale, and it/he was under a large iron(bolt?).

Kom sverðit í járnboltinn, ok stökk í sundr undir hjöltunum. 

The sword landed on the iron-bolt(?), and flew asunder under the knob at the end of the sword hilt.

Sigrgarðr stökk fyrir borð eptir Knúti, ok fundust þeir á mararbotnum ok var þeira atgangr bæði harðr ok langr, ok ætlaði hvárr at festa annan á grunni. 

Sigrgardr leapt overboard after Knutr, and they met together at the bottom of the sea, and it was for them both hard and long fighting, and each tried to fasten the other to the bottom.  

Sigrgarðr hafði tekit í posann þann sem kerling hafði fengit honum, ok brugðit yfir andlit sér, ok mátti hann þá vera í kafi svá lengi sem hann vildi. 

Sigrgardr had taken his (Z. í 11 applies here?) bag, the one the old woman had given him, and drew it over his head, and he could them be under water as long as he wanted to.

Hann var þá svá líkr Knúti inum knappa at yfirlitum at hvárigan mátti frá öðrum kenna, en síðan sprengði hann Knút köfum. 

He was so like Knutr the buttons (??) that the appearance that neither could be known from the other, and then he made burst Knutr's dive. (?)

Síðan fór hann í öll hans klæði.

Then he put on all his clothes.

En þeir Stígandi ok Hörðr höfðu rutt skipin á meðan, ok gekk þeim þat vel, en þegar þeir skutu eða hjuggu til Harðar þá brá hann við ýmist dausnum eða krippunni, ok brotnaði hvert vápn sem þar kom í. 

And/but Stigandi and Hordr had meanwhile cleared the ships, and it went well for them, but immediately they shot or struck at Hardar, then he warded off with now his rump now his hump, and broke whatever weapon that came at (him).

Var þat allt jafndrjúgt at þeir höfðu rutt drekann, enda kom þá Knútr upp úr kafinu á þat skip sem næst var drekanum. 

It was so equally in great numbers that they had cleared the ship of war, and aslo Knutr then came up out of his dive to that ship which was next to the warship.

Kallaði hann þá, ok bað menn ei berjast við höfuðlausa menn. 

He called them, and asked (the) men to not fight with leaderless men.

Kvað Sigrgarð vera dauðan á mararbotni. 

He said Sigrgardr was dead on the sea bottom.

Brá mönnum mjök við þessa sögu. 

Many men started off with this report.

Gafst þá upp bardaginn.

Then the battle was given up.

Fátt var fallit af liði Sigrgarðs; en mestr hluti var fallinn af liði Knúts. 

Few were fit of Sigrgardr's army, but the most part of Knutr's army were fit.

Bauð hann þá öllum mönnum grið sem með Sigrgarði höfðu verit. 

He then asked all men for a truce as it had been with Sigrgardr.

Þeir Hörðr ok Stígandi gengu til handa, ok sóru honum trúnaðareiða. 

Hordr and Stigandi submitted, and swore an oath of allegiance to him.    (Z. hönd 1:   ganga til handa e-m = to put oneself in another’s hands, submit to him

En eptir þat bað Knútr alla þá menn sem með Sigrgarði höfðu verit sigla heim aptr í Garðaríki eðr hvert sem þeir vildi, ok ei vildi hann af þeira herfangi hafa at væri eins skildings. 

And after that Knutr asked all the men who had been with Sigrgardr (to) sail back home to Gardariki or whereever as they wanted, and he didn't want to have from them booty that it would be one shilling.