Magma Energy Corp. completes C$40 million common share offering

Date Closed: 7/27/2010

Value: C$40 million

On July 27, 2010, Magma Energy Corp. completed a short form prospectus offering of 40,334,628 common shares for $1.12 per share, including 4,620,342 common shares issued upon partial exercise of the underwriters' over-allotment option, for aggregate gross proceeds of $45,174,783. Raymond James Ltd. acted as lead underwriter for the offering, with National Bank Financial Inc., Cormark Securities Inc., Dundee Securities Corporation, Jacob Securities Inc., Mackie Research Capital Corporation, Salman Partners Inc., Wellingtong West Capital Markets Inc. and Canaccord Genuity Corp. participating in the underwriters' syndicate.

Magma Energy Corp. was represented by BLG's team of Fred Pletcher, Graeme Martindale and Stephen Robertson.