Provo, Utah-based Raser Technologies (NYSE: RZ) announced that the city of Anaheim, Calif., approved power purchase agreements for two of Raser's planned geothermal facilities.

Raser said the agreements are for a total of up to 22 megawatts, with each agreement covering up to 11 MW for 20 years.

"Anaheim is committed to the development of new energy technologies," said Curt Pringle, Mayor of Anaheim. "This agreement with Raser is evidence of our commitment, and will help us meet the growing demand in achieving a higher standard of renewable energy use."

Raser said the contracts provide for a selling price of $78 per megawatt hour with a two percent per annum increase over the term of the agreements.

The company said Anaheim would also pay for the "wheeling costs," or cost for transmission, of the electricity from the plants to Anaheim.

Raser plans to begin delivering electricity to Anaheim by Dec. 15 of this year.

"These geothermal power plants are designed to provide baseload renewable energy with virtually no harmful emissions for a combined 18,000 homes," said Brent Cook, CEO of Raser.

"Receiving these initial PPAs are key milestones for Raser Technologies and are important pieces of our corporate strategy."

Raser said it's in negotiations with several utilities and other municipalities for the sale of an additional 120 MW of power.

The company expects to complete those negotiations in 2008 and 2009.