Magma Energy is a global geothermal power company with operations in Iceland, the United States, Chile, and Peru. The company has a balanced portfolio of exploration and operating assets, with 175 MW of installed capacity currently online in Iceland. Magma's strategy is to build scale through a mix of exploration, development projects, and operating assets in order to reduce risk and improve margins. The company aims to grow from its current 195 MW of reserves and 181 MW of resources through ongoing exploration and expansion programs.

1. A GLOBAL GEOTHERMAL POWER COMPANY
DEC 2010
TSX : MXY

2. CAUTION REGARDING FORWARD-LOOKING STATEMENTS
These slides and the accompanying oral presentation contain certain “forward-looking information” within the meaning of Canadian
securities laws, which may include, but is not limited to, statements with respect to future events or future performance,
management’s expectations regarding our growth, results of operations, estimated future revenues, requirements for additional
capital, production costs and revenue, future demand for and prices of electricity, business prospects, opportunities and estimates of
recoverable geothermal energy “resources” or “reserves” or energy generation capacities (at either P90 or based on the Geothermal
Code for Public Reporting). Such forward-looking information reflects management’s current beliefs and is based on information
currently available to management.
A number of known and unknown risks, uncertainties and other factors, may cause our actual results or performance to materially
differ from any future results or performance expressed or implied by the forward-looking information. Such factors include, among
others, those discussed in the section of our prospectus entitled “Risk Factors”. These factors should be considered carefully. The
forward-looking information is also based upon what management believes to be reasonable assumptions, including, but not limited
to, assumptions about: the success and timely completion of planned exploration and expansion programs, including expansion and
improvements to operations in Iceland and to our Soda Lake Operation in Nevada; the growth rate in net electricity consumption;
support and demand for non-hydroelectric renewables; government initiatives to support the development of renewable energy
generation; the accuracy of resource and reserve estimation methodology and probabilistic analysis used to estimate the quantity of
potentially recoverable energy; geological, geophysical, geochemical and other conditions at our properties; the reliability of technical
data, including extrapolated temperature gradient, geophysical and geochemical surveys and geothermometer calculations; capital
expenditure estimates; availability of capital to fund exploration, development and expansion programs; the differences in financial
results reported under IFRS and Canadian GAAP; and general economic conditions. Forward-looking information and statements
are also based upon the assumption that none of the identified risk factors that could cause actual results to differ materially from the
forward-looking information and statements will occur.
There can be no assurance that the forward-looking information will prove to be accurate, as actual results and future events could
differ materially from those anticipated in such information. Accordingly, prospective investors should not place undue reliance on
forward-looking information. Other than as required by applicable securities laws, we assume no obligation to update or revise such
forward-looking information to reflect new events or circumstances.
2

3. MAGMA ENERGY - STRATEGY & VALUE CREATION
Geothermal power can be the lowest cost and cleanest form of electricity generation
Potentially a great cash generator without incentives
Incentives (USA, Europe, Chile) greatly improve margins
Magma’s mission: to build a leading pure play geothermal power company
Magma’s strategy: DISCOVERY UTILITY
broad asset portfolio and scale = RETURNS RETURNS
PROJECT VALUE $
“discovery returns” and
“utility returns”
Reduces drilling risk and high front-
end capital risk FEASIBILITY
Improves margins with PERMITTING lower cost of
capital OPERATIONS
FINANCING
Better multiples ACQUISITION
EXPLORATION CONSTRUCTION
TIME
We are a power company and an energy resource company
3

4. BALANCED PORTFOLIO: GLOBAL EXPLORATION & OPERATIONS
ICELAND:
2 power plants with 175 MW capacity
80 MW of expansions underway
Additional 150 MW of defined expansion plans
USA:
23 MW power plant with expansion potential
Steady, predictable and long-life cash flow
Excellent government support for geothermal projects
12 other exploration properties
CHILE / PERU:
Huge (320 MW) inferred resource discovered at low cost
Positioned in emerging world-class geothermal markets
Growing government support for geothermal projects
4

5. MAGMA ENERGY - CORPORATE SUMMARY
Mission: To build a leading pure play geothermal power company
Strong team of explorers, builders and operators
Execution: From 2008 startup, the world’s fastest growing geothermal power company
200 1200 1400
INSTALLED CAPACITY (MW)
175 POWER GROWTH GEOTHERMAL RESERVES 195
1000 1200
150 & RESOURCES GROWTH 181
800 1000
125
GWh
100 600 800
190
MW 1
75 600 86
400 60 990
50 400
11 84 200
25
200 11 555
0 0 199
2008 2009 2010 0
2008 2009 2010
Growing financial strength Inferred Indicated Reserves
$50 $20
REVENUE EBITDA
$40 $15
Millions USD
Millions USD
$10
$30
$5
$20
$-
$10 $(5)
$- 2 3
$(10) 2 3
2
Jan - Jun /08 July/08 - Dec/09 Jan - Dec/10 Jan - Jun /08 July/08 - Jan - Dec/10
Dec/09 2
1
Geothermal Reporting Code verified MW
2
2008 and 2009 actuals (2009 reflects Magma’s equity portion in HS Orka)
3
5 2010 is an estimate and reflects Magma's equity and newly consolidated portion in HS Orka

6. Q1 OPERATING AND FINANCIAL HIGHLIGHTS
Magma gained control of HS Orka during Q1, full consolidation of results occur
in Q2
ACTUAL
Expressed in thousands of US dollars, except for MWh
and per share amounts Year End
2010-Q1
June 30-2010
NET PRODUCTION (MWh) 372,042 62,072
TOTAL REVENUE 8,044 5,056
GROSS PROFIT 1,191 1,659
EBITDA (1) 5,910 (3,261)
EARNINGS (LOSS) PER SHARE .05 (0.07)
TOTAL ASSETS 656,006 198,703
TOTAL LIABILITIES 415,542 56,633
CASH GENERATED BY OPERATING ACTIVITIES 12,472 89
(1) EBITDA is defined by the Company as earnings before interest and other financing costs, taxes, depreciation and amortization, as well as before deductions for non-cash charges
related to employee compensation, equity earnings/losses, loss on re-measurement of equity interest, NCI, gain on bargain purchase and changes to the balance sheet carrying
value of long-term debt and derivatives. The Company discloses EBITDA as it is a measure used by analysts and by management to evaluate the Company's performance. As
EBITDA is a non-GAAP measure, it may not be comparable to EBITDA calculated by others. In addition, as EBITDA is not a substitute for net earnings, readers should consider net
earnings in evaluating the Company's performance.
6

7. NORTH AMERICAN PRIMARY GEOTHERMAL COMPANIES
700
DEVELOPERS
600
500
400
MW
300
200
100
0 (1)
Ram Power U.S. Geo NGP MAGMA Ormat
Operating Development through 2013
(1)
Geothermal Reporting Code verified MW
Source: Jacob Securities Inc
7

8. CREATING VALUE
OUR PROGRESS
Existing Iceland infrastructure allows for
rapid, low cost expansions
Now the 2nd largest North American based
primary geothermal developer
Major discovery in Chile
NEXT STEPS
Complete expansions at HS Orka, Iceland
Fulfill potential at Soda Lake, NV and
develop other US assets
Develop Mariposa, Chile and explore other 700 643 6000
Chile/Peru assets EXPECTED ORGANIC GROWTH
600
INSTALLED CAPACITY (MW)
5000
VALUE PROPOSITION 500 443 4000
Non-declining assets providing steady 400
GWh
production and cash flow (forever) 307 3000
300 248
Strong inventory of development prospects 190
198 2000
200
Sufficient resources to increase existing
100 84 1000
company proved reserves six-fold
11
Growing portfolio size reduces risk 0 0
Large team of geothermal experts - core 2008 2009 2010 2011 2012 2013 2014 2015+
asset
Soda Lake HS Orka Nevada Mariposa
8

9. www.magmaenergycorp.com
TSX MXY
9

10. APPENDIX
10

11. MAGMA ENERGY - GLOBAL PROJECT PIPELINE
AREA RESERVES RESOURCES
STAGE PROPERTY (HA) PROVED INDICATED INFERRED
Operations Soda Lake - Nevada
1
2,881 20 41
HS Orka - Iceland
2
31,067 175 140 500
Advanced Mariposa - Chile
3
104,000 320
McCoy - Nevada 4
4,621 170
Early Stage Argentina [2] 26,922
Chile [2] 158,000
Peru [7] 7,900
USA [11] 34,977
370,368 195 MW 181 MW 990 MW
(1) Reporting Code Estimate GeothermEx
(2) Reporting Code Estimate Mannvit Engineering
(3)
Reporting Codes Estimate SKM
(4)
Independent estimate P90 Geo Hills Associates
Plant
Property
McCoy
11

12. MAGMA IS AN UNDERVALUED ENERGY COMPANY
BOE RESERVES & RESOURCES EV/BOE RESERVES & RESOURCES
2,500 $6.00
2,000 $5.00
$4.00
MM BOE
1,500
CDN $ / BOE
$3.00
1,000
$2.00
500 $1.00
- $-
STP MXY CLL OPC STP MXY CLL OPC
BOE Reserves BOE Resources EV/BOE Reserves EV/BOE Resources
. . . . . @ $15/tonne
CO2 CREDITS (PENALTIES) FROM
TSX symbols: RESERVES & RESOURCES ≈ $14 billion credit
STP Southern Pacific
MXY Magma Energy
1,500 over 30 years
CLL Connacher Oil & Gas 1,000
MEGA TONNES
OPC OPTI Canada
500
-
Assumptions:
STP MXY CLL OPC
0.62 bbl/MWh(th) (500)
0.1 MW(e) / MW(th)
(1,000)
30 years of assumed project life
430 kg CO2 emitted per BOE (1,500)
12

13. HS ORKA EXPANSION HIGHLIGHTS
Potential to expand from 175 MW to 405 MW
PPA discussions with Nordural and Others on-going
CapEx for full 230 MW expansion is ~$560 M; will be staged
50 MW phase expansion commenced; significant equity already invested
Next 30 MW phase requires no additional drilling
~46% of HS Orka’s revenue currently indexed to aluminum price
Future PPA’s with smelters and/or other power off-takers will impact HS Orka’s on-going sensitivity
to aluminum prices
CONCEPTUAL
PRODUCTION GROWTH
13

14. PRODUCTION - SODA LAKE, NEVADA
Ramping up to capacity of 23 MW
Current installed throughput is 84,000 GWh/yr
Phase 2 expansion - achieve reservoir capacity 61 MW
14

15. ADVANCED DEVELOPMENT - MARIPOSA, CHILE
320 MW Inferred Resource discovered MP- 03 DRILL SITE
by Magma in 2009
50 MW Phase 1 exploitation plan
approved in April 2010
$15M resource confirmation program
underway to drill additional slim holes
>$100/MWh power rates and drilling
incentives available
<25 km from 2 transmission lines under
development MP- 02 MP- 01 MP- 03
15

16. WORLD CLASS MANAGEMENT TEAM
Ross Beaty: Chairman & CEO
Geologist and resource company entrepreneur with 38 years experience in the international minerals industry.
Founder and chair of Magma Energy Corp and Pan American Silver Corp. (TSX: PAA, NASDAQ: PAAS) and
several other resource companies that were successfully built and divested.
MAGMA ENERGY CORP MAGMA ENERGY GLOBAL OPERATIONS
Lyle Braaten: Secretary & General Counsel Dick Benoit: USA
Lawyer. Extensive experience negotiating commercial Exploration Manager
agreements and implementing large infrastructure Over 35 years experience in the geothermal industry both
projects nationally and internationally
Annette Cusworth: Chief Financial Officer Mark Kumataka: USA
Chief Engineer
Chartered Accountant with over 20 years experience in
Professional Engineer with over 30 years experience in
the public and private sectors
geothermal resource management in U.S. & Latin America
Dr. Catherine Hickson: VP Exploration & Chief Geologist Ásgeir Margeirsson: ICELAND
World renowned volcanologist with over 25 years President & CEO
experience in Canadian and international geosciences An extensive career in geothermal power development both
within Iceland and internationally
Alison Thompson: VP Corporate Relations
Monte Morrison: USA
Masters of Chemical Engineering and Queen’s MBA; Country Manager & VP Operations
Extensive experience in the energy industry; Chair of Professional Engineer with 25 years experience managing the
CanGEA operations and maintenance of geothermal power plants
Andrea Zaradic: VP Operations & Development John Selters: CHILE & ARGENTINA
Mechanical Engineer with 20 years experience in Country Manager
engineering design, construction, commissioning and Mining engineer with over 40 years experience in Latin
operations with large international mining projects America
16

17. INSTITUTIONAL QUALITY BOARD OF DIRECTORS
Ross Beaty - Chairman and CEO
David W. Cornhill - [Independent] Member Audit, Compensation and Governance Committees
Mr. Cornhill is the founder, Chairman and Chief Executive Officer of AltaGas Income Trust, one of Canada’s largest
energy infrastructure groups, focused on gas and power infrastructure and renewable energy (wind and hydro).
With more than 25 years of experience in the energy industry, Mr. Cornhill also sits on several private and public
boards including AltaGas Utility Group and Ivey Business School.
Robert Pirooz - [Independent] Chair Corporate Governance Committee, Member Compensation Committee
Mr. Pirooz studied commerce at Dalhousie University and received a Juris Doctor degree from the University of
British Columbia in 1989. From May 1990 to February 1998, Mr. Pirooz practiced law primarily in the areas of
corporate, commercial and securities law. Mr. Pirooz' extensive legal and business background spans over 20
years and includes the role of General Counsel for the BCR Group of companies and Pan American Silver Corp, a
role in which he currently serves, and as principal in the Lumina group of resource companies. Currently a director
of 5 public companies, Mr. Pirooz has worked with Ross Beaty since early 1998.
Donald Shumka - [Independent] Chair Audit Committee, Member Governance Committee
Mr. Shumka is Managing Director of Walden Management Ltd., a financial consulting firm. Mr. Shumka received
his Bachelor of Arts degree from the University of British Columbia and a Master of Business Administration from
Harvard University. From 1966 -1979 he worked in a variety of positions in the forest industry, from 1979 -1989 he
was Vice President and Chief Financial Officer of West Fraser Timber Co. Ltd. and from 1989 - 2004 he headed
the Forest Products Group for two Canadian investment banks. Mr. Shumka is active in the not for profit sector and
is currently the Chair of the British Columbia Arts Council.
Paul Sweeney - [Independent] Chair Compensation Committee, Member Audit Committee
Mr. Sweeney has over 30 years experience in financial management of mining and renewable energy companies.
He is currently Executive Vice-President, Business Development, of Plutonic Power Corporation, a run-of-river
hydro developer. He has served as CFO of a number of successful mineral resource companies including Canico
Resources and Sutton Resources and is a Director of several resource companies including Pan American Silver
Corp. where he chairs the audit committee.
17

18. NEWS-FLOW CATALYSTS
LOCATION GOAL TARGET DATE
Peru Exploration results On-Going
Mariposa, Chile Slim hole drilling results Q-4
Soda Lake, Nevada Phase 1 expansion complete Q-4
McCoy, Nevada Slim hole drilling results Q-1 / 2011
Soda Lake, Nevada New PPA with NV energy Q-1 / 2011
Reykjanes, Iceland PPA negotiations with Nordural and others Q-2 / 2011
18

19. OWNERSHIP, CAPITAL STRUCTURE & COVERAGE
CAPITAL STRUCTURE: AS OF SEPT 31/2010
MAGMA ENERGY SHAREHOLDERS ISSUED & OUTSTANDING 288.9 M
(July 2010)
31% OPTIONS 3.3 M
43% Board and Management LONG TERM DEBT US $275.0 M
Strategic Partner (AltaGas) CASH US $ 46.2 M
20%
Estimated Retail SHAREHOLDERS’ EQUITY US $240.5 M
6%
Estimated Institutional
ANALYST COVERAGE CONTACT
Cormark Securities MacMurray Whale
Jacob Securities John McIlveen
REGIONAL REPRESENTATION Mackie Research Capital Matthew Gowing
11%
20% OF SHAREHOLDERS National Bank Financial Jeremy Mersereau
(JULY 2010)
Pritchard Capital Partners Veny Aleksandrov
13% U.S.A. Raymond James Securities Steven Li
Canada Salman Partners Mike Plaster
5% 51%
Europe Stifel Nicolaus Dilip Warrier
Wellington West Capital Mgmt Sean Peasgood
Other
INDEX COVERAGE
Retail (Unknown Location)
Ardour Global Alternative Energy Index
S&P/TSX Clean Technology Index
19

20. www.magmaenergycorp.com
TSX MXY
20 30-Nov-10