PROVO, Utah–Raser Technologies, Inc. (NYSE: RZ), an energy technology company, today announced that the Company has signed an extension agreement with the financing partners of Thermo No. 1 for the final completion of the plant.

The contract extension pushes out the date by which Raser is required to achieve final completion of the Thermo No. 1 plant. The previous deadline was September 15, 2009, and with the new agreement, the date has been reset to October 1st. Over the next few weeks, the company intends to amend the Thermo No. 1 financing agreements in order to be consistent with recent tax law changes under the American Recovery and Reinvestment Act of 2009. The company also expects to amend other provisions and deadlines for bringing the plant to full capacity.

“This extension is in anticipation of a broader amendment to the financing agreements to reflect updated plant economics and the US Treasury grant proceeds available to the project,” said Richard Clayton, Principal Executive Officer. “It also provides the funds for our well field completion plan. We are pleased with the confidence our partners have shown in Raser and the Thermo project, and believe these anticipated amendments will strengthen the financial position of Thermo No. 1 and Raser.”

About Raser Technologies

Raser (NYSE: RZ – News) is an environmental energy technology company focused on geothermal power development and technology licensing. Raser’s Power Systems segment is seeking to develop clean, renewable geothermal electric power plants and bottom-cycling operations, incorporating licensed heat transfer technology. Raser’s Transportation and Industrial segment focuses on extended-range plug-in-hybrid vehicle solutions and using Raser’s award-winning Symetron™ technology to improve the torque density and efficiency of the electric motors and drive systems used in electric and hybrid-electric vehicle powertrains and industrial applications. Further information on Raser may be found at: www.rasertech.com.

Cautionary Note Regarding Forward-Looking Statements

This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, including, but not limited to, statements regarding: our beliefs about our ability to exploit available geothermal resources; our beliefs about our well field completion plan; our beliefs about the expected timing relating to the restructuring of our financial agreements; our beliefs about the economic benefits of contemplated financing structures, and our beliefs about our ability to qualify for government incentives. These forward-looking statements involve certain risks and uncertainties that could cause actual results to differ, including, without limitation, the competitive environment and our ability to compete in the industry; our ability to adapt our technology and third-party technology for the intended applications; our ability to secure necessary permits; our ability to attract, train and retain key personnel; and such other risks as identified in our quarterly report on Form 10-Q for the quarter ended June 30, 2009, as filed with the Securities and Exchange Commission, and all subsequent filings.

All forward-looking statements in this press release are based on information available to us as of the date hereof, and we undertake no obligation to update forward-looking statements to reflect events or circumstances occurring after the date of this report.

Contact:

Raser Technologies, Inc.
Investor Relations
Issa Arnita, 801-765-1200
investorrelations@rasertech.com

or

Hayden IR
Cameron Donahue, 651-653-1854
cameron@haydenir.com