1. Building Shareholder Returns by
Maximizing the Potential of Currently Held Assets
NASDAQ: MPET
July 2012

2. Forward Looking Statements
This presentation contains forward-looking statements that involve risks and uncertainties. Our forward-looking statements express our current
expectations or forecasts of possible future results or events, including projections of future performance, statements of management’s plans and
objectives, future contracts, and forecasts of trends and other matters. Forward-looking statements speak only as of the date of this presentation, and
we undertake no obligation to update or revise such statements to reflect new circumstances or unanticipated events as they occur, except as may be
required by securities laws You can identify these statements by the fact that they do not relate strictly to historic or current facts and often use words
laws.
such as “anticipate”, “estimate”, “expect”, “believe”, “will”, “outlook”, “project”, and other words and expressions of similar meaning. No assurance can
be given that the results expressed or implied by any forward-looking statements will be achieved, and actual results could be affected by one or more
factors, which could cause them to differ materially. For these statements, we claim the protection of the safe harbor for forward-looking statements
contained in the Private Securities Litigation Reform Act of 1995.
Among these risks and uncertainties are: (1) the ability of Magellan to fully realize the expected benefits from the asset swap with Santos in the
Amadeus B i and th related gas sales agreement; (2) whether th C
A d Basin d the l t d l t h th the Company can successfully achieve cost savings while d li i revenue
f ll hi t i hil delivering
growth; (3) whether the workovers, recompletions, and other drilling at Poplar will result in increased production and cash generation and/or will
otherwise successfully assist in the development of Poplar; (4) whether a CO2 enhanced recovery program in the Charles formation will be viable; and
(5) the production levels from the properties in which Magellan, through its subsidiaries, have interests, the recoverable reserves at those properties,
and the prices that will ultimately be applied to the sale of such reserves. For a more complete discussion of the risk factors that may apply to any
forward looking statements, you are directed to the Risk Factors section of the Company’s Form 10-K for the year ended June 30, 2011 and
subsequent form 10-Q’s. Any forward-looking information provided in this presentation should be considered with these factors in mind. Although
10 Q s. forward looking
Magellan may from time to time voluntarily update its prior forward looking statements, Magellan assumes no obligation to update any forward-looking
statements contained in this presentation, whether as a result of new information, future events, or otherwise, except as may be required by securities
laws.
Reserves
The U.S. Securities and Exchange Commission permits oil and gas companies, in their filings with the SEC, to disclose only proved, probable, and
possible reserves. We may use in this presentation the term "reserves" or "potential reserves" in connection with quantities of oil and natural gas that
we cannot include in our SEC filings. Reserves are estimated remaining quantities of oil and natural gas and related substances anticipated to be
economically producible, as of a given date, by application of development projects to known accumulations (subject to other conditions). Potential
reserves are our internal estimates of quantities of oil and natural gas that are potentially recoverable. Quantities of reserves and potential reserves
are by their nature significantly more uncertain than proved probable and possible reserves and accordingly are subject to substantially greater risk
proved, probable, reserves,
of not actually being realized by Magellan.
1

3. Magellan Is…
…executing a turnaround strategy focused on maximizing the value of
existing oil and gas assets in the United States, Australia, and the United
Kingdom
2

4. Investment Considerations
 Pro forma cash and equivalents of
approximately $45 million
$ 61 m
 More than 10 MMBoe net proved reserves
 Several near-term opportunities to significantly
increase reserves $ 45 m
Adj (2)
 22 000 net unitized acres covering Poplar
22,000
Dome, the largest geologic structure in the
western Williston Basin, Montana
 Rationalization of Australian natural gas assets
g
Cash,
generates long-term stable revenue with 31 Mar (2)
potential upside
 Long-term potential from onshore UK and off-
shore A t li projects
h Australia j t
 Lower fixed operating costs in FY131; most
Market cap Cash
capex discretionary (25 Jul, $1.14/sh) ($0.83/sh)
 Experienced management team
1. June 30 fiscal year end.
2. Cash includes Santos asset swap proceeds. Transaction adjustments received in Q4 FY12. 3

5. Turnaround Leadership
Robin West (65) – Chairman Tom Wilson (60) – CEO
 Founder, CEO of PFC Energy  Former President of KMOC and Anderman
 Former Reagan Administration Assistant International
Secretary of the Interior (1981-83),  Former First Vice President and director of
responsible for U.S. offshore oil policy Young Energy Prize
 Member of National Petroleum Council and  Previously, led new international strategy
Council on Foreign Relations for Apache and served as a Project
 Director of Key Energy Services and Manager for Shell Oil
formerly of Cheniere Energy
Antoine Lafargue (37) – CFO Randy Pharo (59) – General Counsel &
Secretary
 Former CFO of Falcon Gas Storage based
in Houston, TX
,  Former General Counsel of SM Energy
gy
 Previously, a principal with Arcapita, a  Member of management team that grew
private equity fund focused on the energy SM market cap. from ~$120 m to ~$4 bn
and infrastructure sectors  Over 32 years of in-house and outside
 Previously held investment banking counsel oil and gas legal experience
positions with DLJ/Credit Suisse and Bank
of America
4

6. Poplar
 22,000 net unitized
acres covering
largest geologic
structure in western
Williston Basin
 Substantially all
acreage held by
production, and
capex is mainly
discretionary
 Bakken Play is
moving west t
i t to
Poplar
5

7. Poplar
Judith River
 Shallow gas opportunity
Greenhorn
 Oil potential – similar to Eagleford play
Amsden
 New oil pool discovery Jan 12
 First well in development
Tyler
 4 current wells
 Additional potential
Charles
 250 bbls/day
 CO2-EOR: pilot project in FY13
EOR:
Several reserve development opportunities
6

8. Poplar – VAALCO Farm-Out
 VAALCO farm-out in Sep 2011 to explore and develop deeper formations
at Poplar
– 100% carry f 3 wells i calendar 2012
for ll in l d
– 35% interest in all wells to Magellan
 Objective and rationale:
– Prove up reserves and value of deeper formations of Poplar, with
limited capital exposure through the exploration phase
– Remain focused on Charles and shallower formations
– Benefit from VAALCO’s horizontal well drilling expertise
 Timing:
– First well drilled in Q1 and completion operations will be completed by
July - preliminary results encouraging
– Second well commenced as a horizontal well to test Bakken/Three
Forks in June 2012
7

9. Poplar – CO2 Enhanced Oil Recovery
 Evidence points to Charles formation being a prime candidate for CO2
enhanced oil recovery program
 Offers the potential to increase reserves from current 10 MMbbls to 40 to
60 MMbbls
 Initial miscibility tests confirm oil from Charles formation has requisite
y q
miscibility for successful CO2 enhancement
 Project assessment milestones:
– Laboratory tests ongoing until July 2012
– Physical injectivity test in May 2012
– 5 well pilot project t start i FY13
ll il t j t to t t in
Potential additional proved reserves of 30 to 50 MMbbls
8

10. Australian Onshore Assets
Palm Valley
 145 km SW of Alice Springs
 11 Bcf of proved gas reserves and
14 Bcf of probable gas reserves
 ~$100 m revenue contract over 17
years with price upside
 100% owner / operator
 Connected to Darwin pipeline
Dingo
 65 km south of Alice Springs
 Material gas resource
 3 appraisal wells (’84 and ’90)
 100% owner / operator
 Marketing gas to mining industry
Mereenie
 Opportunity to earn up to A$17.5
million in bonus payments from
Santos 9

11. Longer Term: Bonaparte Basin
NT/P82
 Long term development
opportunity
 Potential reserves of ~3
Tcf
 100% held exploration
block
 3D seismic survey to be
conducted in Q1 FY13
 1 exploration well by
e p o at o e
2015
10

12. Longer Term: UK Shale
Northern operated (22.5% – 40%)
240,000 net acres – 12 licenses
 Markwells Wood – production
test ongoing
 Several drilling prospects
identified
 PEDL 240 (Isle of Wight) –
Wytch Farm extension play
Celtique operated (50%)
 Acquired 175 km 2D seismic in
July 2011
 Conventional plays: shallow oil
and deep gas
 Unconventional plays: Shale oil
and gas potential in Liassic and
Kimmeridge shales
Magellan operated : 3 licenses, 100% WI
Celtique operated : 4 licenses, 50% WI
Northern operated : 5 licenses, 22.5%-40% WI Magellan operated (100%)
 Deep gas potential at Horse Hill
11

13. Historical Financials1
Revenue Net income (loss) EBITDAX
28.5
18.2
11.7 11.7
$m
(1.4)
(4.8)
(8.2) (7.5)
(32.4)
FY10 FY11 March 2012 YTD
Production
Oil (Mbbls) 139 123 99
Gas (Bcf) 3.4
34 0.7
07 0.4
04
Total (Mboe) 711 241 166
boepd 1,947 661 606
1. June 30 fiscal year end.
2. See Appendix: EBITDAX Reconciliation for reconciliation to net income and for further information on EBITDAX. 12

14. Operational Milestones
Milestone FY2013 FY2014
Sep Dec Mar Jun
Poplar
Charles infill – EPU 119 and others
Amsden – EPU 117 testing
VAALCO – three test wells
CO2-EOR – laboratory testing
CO2-EOR – pilot
Australia
Palm Valley – new gas contracts
Dingo – develop marketing strategy
NT/P82 – 3D seismic
UK
Markwells Wood – production testing
Unconventional – assessment
13

15. Poised for Improved Cash Flow
12-Month revenue enhancement opportunities
 Replacement gas contracts for Palm Valley
 Increased Charles production
 Amsden potential production
 VAALCO potential production
12-Month operating cost savings
 Lower Palm Valley operating costs
 Eli i t d M
Eliminated Mereenie operating costs
i ti t
 Reduced G&A expenses
 Australian stock exchange listing expenses
14

16. Appendix
15

17. EBITDAX Reconciliation
EBITDAX: Non-GAAP financial measure and reconciliation to net income (loss)
Fiscal Years Ended June 30, Nine Months Ended March 31,
2011 2010 2012 2011
(In thousands)
Net (loss) attributable to Magellan $ (32,432) $ (1,446) $ (8,207) $ (5,560)
Depletion, depreciation, amortization, and accretion expense 2,890 5,428 1,242 1,694
Exploration expense 2,854 1,273 3,619 1,481
Stock-based compensation expense 1,670 6,582 1,282 1,812
Foreign transaction loss (gain) 951 677 (1,045) 606
Impairment expense 173 2,050
2 050 - 123
Loss on Evans Shoal 15,893 - - -
(Gain) on sale of assets (969) (6,817) (4,029) (954)
Warrant expense - 4,276 - -
Net interest (income) (923) - (357) (659)
Other (income) - (3,013) (5) -
Income tax provision (benefit) 5,141
5 141 2,646
2 646 - (1,502)
(1 502)
Net (income) loss attributable to non-controlling interest in subsidiaries (5) 11 (15) (16)
EBITDAX $ (4,757) $ 11,667 $ (7,515) $ (2,974)
We define EBITDAX as net (loss) attributable to Magellan, plus (1) depletion, depreciation, amortization, and accretion expense, (2) exploration
expense, (3) stock based compensation expense, (4) foreign transaction loss (gain), (5) impairment expense, (6) loss on Evans Shoal, (7) (gain) on
sale of assets, (8) warrant expense, (9) net i t
l f t t t interest (i
t (income), (10) other (i
) th (income), (11) i
) income t provision (b
tax i i (benefit), and (12) net (i
fit) d t (income) l
) loss
attributable to non-controlling interest in subsidiaries. EBITDAX is not a measure of net income or cash flow as determined by GAAP, and excludes
certain items that we believe affect the comparability of operating results.
Our EBITDAX measure provides additional information which may be used to better understand our operations. EBITDAX is one of several metrics
that we use as a supplemental financial measurement in the evaluation of our business and should not be considered as an alternative to, or more
meaningful than, net income (loss) as an indicator of our operating performance. Certain items excluded from EBITDAX are significant components in
understanding and assessing a company's fi
d t di d i ' financial performance, such as th hi t i cost of d
i l f h the historic t f depreciable and d l t bl assets. EBITDAX, as used
i bl d depletable t EBITDAX d
by us, may not be comparable to similarly titled measures reported by other companies. We believe that EBITDAX is a widely followed measure of
operating performance and is one of many metrics used by our management team and by other users of our consolidated financial statements. For
example, EBITDAX can be used to assess our operating performance and return on capital in comparison to other independent exploration and
production companies without regard to financial or capital structure, and to assess the financial performance of our assets and our company without
regard to historical cost basis and items affecting the comparability of period to period operating results.
16