El Capitan Precious Metals, Inc. (OTCPK:ECPN) announced that it has entered into a securities purchase agreement for a private placement of convertible note for gross proceeds of $500,000 on February 21, 2017. The transaction will include participation from accredited investor, Lucas Hoppel. The company issued the note at a discount of 9.090909%. The note carries a fixed coupon of 7% per annum, and will mature on August 21, 2017. The note is convertible into common shares of the company at a fixed conversion price of $0.0913 per share. The company also issued warrants to the investor equal to 50% of the conversion shares issuable upon conversion of the amount advanced. The warrants are exercisable at an exercise price of $0.3652 for a period of three years from the date of issuance. The company shall have the option upon five business days’ notice to pre-pay the entire remaining outstanding balance in cash. The company will issue securities pursuant to exemption provided under Regulation D. On the same date, the company received $100,000 in its first tranche. The company also issued 602,406 warrants.