Ocean Thermal Energy Corporation (OTCPK:CPWR) announced that it has entered into a securities purchase agreement for private placement of a senior secured promissory note for gross proceeds of up to $100,000 on February 16, 2018. The company has also issued warrants to purchase up to 242,222 common shares of the company. The transaction included participation from returning investor L2 Capital, LLC. The company issued note at an original issuance discount of up to $55,555. The note is convertible into common shares of the company at a fixed conversion price of $0.5 per share. The maturity date of each tranche funded shall be six months from the date of payment and is the date upon which the principal sum shall be due and payable. The note carries fixed interest rate of 8% per annum. In event of default, the investor will pay interest rate of 18% per annum. The company will pay transaction expenses of $10,000 to the investor. The company will receive net proceeds of $500,000 in the transaction. The company will issue securities pursuant to exemption provided under Regulation D. The company expected to raise $510,000 in the transaction.