1. A GLOBAL GEOTHERMAL POWER COMPANY
FEB 2011
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
Magma’s mission: to build a leading global geothermal power company
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 strategy: DISCOVERY UTILITY
RETURNS CASH FLOWS
broad asset portfolio and scale =
PROJECT VALUE $
“discovery returns” and
“utility cash flows”
 Reduces drilling risk and high front-
end capital risk FEASIBILITY
 Improves margins with PERMITTING lower cost of
capital OPERATIONS
FINANCING
ACQUISITION
 Better multiples 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
 Emerging geothermal markets with world-class potential
 Strong government support for geothermal projects
4

5. MAGMA ENERGY – EXECUTION TO DATE
From 2008 startup, the world’s fastest growing geothermal power company
POWER GROWTH
1750 250
Installed Capacity (MW)
Production (GWh) 1500 190 1,650
200
1250
1000 150
1,023
750 100
500
23 50
250
0 16 91 0
2008 2009 2010 2011e
GEOTHERMAL RESERVES & RESOURCES GROWTH
1600
Inferred Indicated Reserves
1200 195
181
800 86
60 990
400
11 555
199
0
(1)
MW 2008 2009 2010
(1)
5 Geothermal Reporting Code verified MW

6. MAGMA ENERGY – GROWING FINANCIAL STRENGTH
$80
REVENUE
$70
$60
Millions USD
$50
$40
$30
$20
$10
$‐
Jan ‐ Jun /08 July/08 ‐ Jan ‐ Dec/10 Jan ‐ Dec/11e EBITDA
$25
Dec/09
$20
Millions USD
$15
$10
$5
$‐
$(5)
$(10)
2008/09 actual and 2009/2010 reflects Magma’s equity portion in HS Orka Jan ‐ Jun /08 July/08 ‐ Jan ‐ Dec/10 Jan ‐ Dec/11e
2011 is an estimate and reflects Magma's consolidated portion in HS Orka
Assumed aluminum price of USD 2,300/tonne and 111 ISK/USD Dec/09
6

7. Q2 OPERATING AND FINANCIAL HIGHLIGHTS
Magma gained control of HS Orka during Q1, full consolidation of results
occured in Q2
ACTUAL
Expressed in thousands of US dollars, except for
MWh and per share amounts Year End
2011-Q2 2011- H1
June 30-2010
NET PRODUCTION (MWh) 351,461 688,707 62,072
TOTAL REVENUE 18,751 26,795 5,056
GROSS PROFIT 5,485 7,082 1,659
EBITDA (1) 6,155 11,749 (3,261)
TOTAL ASSETS 656,222 656,222 198,703
TOTAL LIABILITIES 427,093 427,093 56,633
(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.
7

8. NORTH AMERICAN PUBLIC GEOTHERMAL COMPANIES
700
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
8

9. PROGRESS AND NEXT STEPS
OUR PROGRESS
 Now the 2nd largest public geothermal
developer in North America
 Existing Iceland infrastructure allows for
rapid, low cost expansions
 Major discovery in Chile
NEXT STEPS
 Complete Iceland expansions
 Fulfill potential at Soda Lake, NV and
develop other US assets
 Develop Mariposa, Chile and explore other
Chile/Peru assets
9

10. CREATING VALUE
VALUE PROPOSITION
 Renewable production and steady cash flow
 Strong inventory of development prospects
 Sufficient resources to increase existing company proved reserves six-fold
 Growing portfolio size reduces risk
 Large team of geothermal experts - core asset
EXPECTED ORGANIC GROWTH
700 6000
643
600 5000
INSTALLED CAPACITY (MW) 500
4000
443
400
GWh
3000
307
300
248
198 2000
200 190
84 1000
100
11
0 0
2008 2009 2010 2011 2012 2013 2014 2015+
Soda Lake Iceland Nevada Chile
10

11. www.magmaenergycorp.com
TSX MXY
11

12. APPENDIX
12

13. MAGMA ENERGY - GLOBAL PROJECT PIPELINE
AREA RESERVES RESOURCES
STAGE PROPERTY (HA) PROVED INDICATED INFERRED
Operations Soda Lake - Nevada1 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 26,922
Chile 158,000
Peru 7,900
USA 34,977
(1) Reporting Code Estimate GeothermEx
370,368 195 MW 181 MW 990 MW
(2) Reporting Code Estimate Mannvit Engineering
(3)
Reporting Code Estimate SKM
(4)
Independent estimate P90 Geo Hills Associates
Plant
Property
McCoy
13

14. 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 STP MXY CLL
BOE Reserves BOE Resources EV/BOE Reserves EV/BOE Resources
CO2 CREDITS (PENALTIES) FROM
. . . . . @ $15/tonne
TSX symbols: RESERVES & RESOURCES ≈ $14 billion credit
STP Southern Pacific
MXY Magma Energy 1,200 over 30 years
CLL Connacher Oil & Gas 1,000
MEGA TONNES
800
600
400
Assumptions:
200
0.62 bbl/MWh(th)
0.1 MW(e) / MW(th) -
30 years of assumed project life (200) STP MXY CLL
430 kg CO2 emitted per BOE (400)
14

15. ICELAND EXPANSION HIGHLIGHTS
Potential to expand from 175 MW to 405 MW
PPA discussions with Nordural and others on-going
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
 Signing of new PPA that is not Al price-linked
50 MW phase expansion commenced; as of Dec 2010 $39 MM already invested
Next 30 MW phase requires no additional drilling
~CapEx for full 230 MW expansion is ~$643 MM; will be staged
CONCEPTUAL PRODUCTION GROWTH EXPANSION BUDGET
Reykjanes 3 $131 MM
Reykjanes 4 $ 66 MM
Krýsuvik 1 $ 155 MM
Krýsuvik 2 $ 145 MM
Eldvörp $ 145 MM
15

16. PRODUCTION - SODA LAKE, NEVADA
Ramping up to capacity of 23 MW
 Current throughput is 84,000 GWh/yr
Phase 2 expansion - achieve reservoir capacity 61 MW
16

17. ADVANCED DEVELOPMENT - MARIPOSA, CHILE
320 MW Inferred Resource discovered by
MP- 03 DRILL SITE
Magma in 2009
50 MW Phase 1 exploitation plan approved
in April 2010
Completed $21 MM slim hole drill program
for resource confirmation
>$100/MWh power rates and drilling
incentives available
<25 km from 2 transmission lines under
development
MP- 02 MP- 01 MP- 03
17

18. 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.
John Carson: Executive Vice President
Mr. Carson is a highly experienced renewable energy business leader with a core expertise in structuring and leading
financial transactions. His financing experience includes senior positions held with GE Energy Financial Services,
Terra-Gen Power and Noble Environmental Power, and he has closed over US$2 billion of transactions, primarily in
the renewable energy space.
MAGMA ENERGY CORP MAGMA ENERGY GLOBAL OPERATIONS
Lyle Braaten: Secretary & General Counsel Monte Morrison: USA
Lawyer. Extensive experience negotiating commercial Country Manager & VP Operations
agreements and implementing large infrastructure Professional Engineer with 25 years experience
projects managing the operations and maintenance of geothermal
power plants
Annette Cusworth: Chief Financial Officer John Selters: CHILE & ARGENTINA
Chartered Accountant with over 20 years experience in Country Manager
the public and private sectors Mining engineer with over 40 years experience in Latin
America
Dr. Catherine Hickson: VP Exploration & Chief Geologist
Dick Benoit: USA
World renowned volcanologist with over 25 years
Exploration Manager
experience in Canadian and international geosciences
Over 35 years experience in the geothermal industry
both nationally and internationally
Anders Kruus: VP Corporate Relations
Finance professional with over 20 years international Mark Kumataka: USA
experience in capital markets and corporate finance Chief Engineer
Professional Engineer with over 30 years experience in
geothermal resource management in U.S. & Latin
Asgeir Margeirsson: VP Operations & Development, America
Country Manager Iceland, Chairman HS Orka
An extensive career in geothermal power development
both within Iceland and internationally
18

19. 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 1966-979 he worked in a variety of positions in the forest industry, from 1979-989 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.
19

20. NEWS - FLOW CATALYSTS
LOCATION GOAL TARGET DATE
Peru Exploration results On-Going
Soda Lake, Nevada Application for US Treasury Grant Q-1
Mariposa, Chile Slim hole drilling results Q-2
Soda Lake, Nevada New PPA with NV energy Q-2
Reykjanes, Iceland PPA negotiations with Nordural and others Q-2
McCoy, Nevada Slim hole drilling results Q-4
20

21. OWNERSHIP, CAPITAL STRUCTURE & COVERAGE
CAPITAL STRUCTURE: AS OF DEC 31/2010
MAGMA ENERGY SHAREHOLDERS ISSUED & OUTSTANDING 313.8 MM
(DEC 2010)
OPTIONS 3.3 MM
26% Board and Management
LONG TERM DEBT US $284.4 MM
40%
Strategic Partner (AltaGas) CASH US $ 20.3 MM
Estimated Institutional SHAREHOLDERS’ EQUITY US $229.1 MM
29%
5%
Estimated Retail ANALYST COVERAGE CONTACT
Cormark Securities MacMurray Whale
Jacob Securities John McIlveen
REGIONAL REPRESENTATION OF Mackie Research Capital Matthew Gowing
National Bank Financial
5% SHAREHOLDERS (DEC 2010) Jeremy Mersereau
Pritchard Capital Partners Veny Aleksandrov
26%
USA Raymond James Securities Steven Li
Salman Partners Mike Plaster
Canada
46% Wellington West Capital Mgmt Sean Peasgood
12%
Europe INDEX COVERAGE
11% Ardour Global Alternative Energy Index
Other
S&P/TSX Clean Technology Index
Unknown Retail
21

22. www.magmaenergycorp.com
TSX MXY
22
22-Feb-11