Ocean Thermal Energy Corporation (OTCPK:CPWR) announced that it has entered into a securities purchase agreement for private placement of a 12% convertible promissory note for gross proceeds of up to $250,000 on May 22, 2018. The transaction will include participation from Collier Investments, LLC. The company will issue note at an original issuance discount of up to $31,250. The note shall be secured by collateral and assets of the company. The company received net proceeds of $195,581.20, net of $5,000 for the investor’s legal fees and $49,418.80 for other fees and expenses. The company issued 400,000 common shares as commitment fee to the investor. The convertible note accrues interest at the rate of 12%, matures on the earlier of seven months after the issuance date or the date of qualified financing, and converts into common shares at the conversion price equal to the lesser of 80% of the of the price per share paid by investors in the qualified financing or $0.20. The company will issue securities pursuant to exemption provided under Regulation D. At any time within the 90 day period immediately following the closing date, the company shall have the option, upon 10 business days’ notice to investor, to pre-pay the entire remaining outstanding principal amount of this note in cash.