Magma Energy Corp. Files Preliminary Prospectus For Initial Public Offering



Vancouver, B.C., Canada, June 1, 2009 - Ross J. Beaty, the Chairman and CEO of Magma Energy Corp., announced today that Magma has filed a preliminary prospectus with the securities regulatory authorities in each of the provinces and territories of Canada, other than the Province of Quebec, in connection with an initial public offering of its common shares.

A syndicate of underwriters, co-led by Raymond James Ltd. and Cormark Securities Inc., has been formed to manage the offering. The other members of the syndicate are Canaccord Capital Corporation, National Bank Financial Inc., Dundee Securities Corporation, Jacob & Company Securities Inc., and Wellington West Capital Markets Inc.

The preliminary prospectus is still subject to completion or amendment. Copies of the preliminary prospectus may be obtained from:

Raymond James Ltd., #5300, Scotia Plaza, 40 King St. West, P.O. Box 415, Toronto, Ontario M5H 3Y2, Attention: Sarah Greer, Phone No.: (416) 777-7197; Fax (416)-777-7129; email:, or: Cormark Securities Inc., #2800, South Tower, Royal Bank Plaza, Toronto, Ontario, M5J 2J2, Attention: Ashley Filzer, Phone No.: (416) 943-6414; Fax (416) 943-6496; email:

The prospectus is available at There will not be any sale or any acceptance of an offer to buy the securities until a receipt for the final prospectus has been issued.

No securities regulatory authority has either approved or disapproved of the contents of this news release. The securities being offered have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the ''U.S. Securities Act''), or any state securities laws, and may not be offered or sold in the United States unless pursuant to an exemption there from. This press release is for information purposes only and does not constitute an offer to sell or a solicitation of an offer to buy any securities of Magma Energy Corp. in any jurisdiction.

About Magma Energy Corp.
Magma Energy Corp. is a geothermal power company actively engaged in operating, developing, exploring and acquiring geothermal energy projects. We currently have one operating power generation plant (the Soda Lake Operation in Nevada), four advanced-stage exploration properties and 14 early-stage exploration properties in our portfolio of assets throughout the Western United States, Chile, Argentina and Peru.

For further information please contact:
Andrea Zaradic
Vice President, Corporate Development
Phone: (604) 646-1874