Daybreak Oil and Gas, Inc. (OTCPK:DBRM) announced that it has entered convertible note purchase agreement with James F. Westmoreland for aggregate gross proceeds of $50,000 on January 14, 2020. The convertible promissory note would mature on July 12, 2020. The note is convertible into $0.001 par value common shares of the company at a conversion price of $0.004 per share. The transaction will happen in two tranches. As a part of transaction, $27,835.03 will be paid by the investor including $10,000 paid in December 2019 and $17,835.03 paid as of the Closing. Further, the investor agrees to pay up to $22,164.97 in additional funding, in one or more tranches. The transaction was approved by the board of directors of the company. The securities were sold in reliance on the exemption from registration provided by section 4(a)(2) of the securities act of 1933 and Regulation D. On the same day, the company received $27,835.03 in its first tranche closing.