One of attracting concepts has been the use of Magnus effect to produce lift from rotating cylinders in various engineering applications. With emerging innovative Magnus type wind turbine technology, it is important to determine power performance and characteristics of such generators as correctly as possible. As stressed by Seifert, there is lack of theories in design and modelling of using Magnus force in engineering which is particularly noticed for the horizontal axis Magnus type wind turbines. In this study, the importance of research carried out for determining lift and drag forces of rotating circular cylinders is highlighted and reviewed. Then, the theoretical methods used in designing commercial aerofoil type wind turbines are extended to apply on the Magnus types. New formulation is presented for potential flow around the Magnus blades. The blade element momentum (BEM) theory is formulated for the Magnus wind turbines. A cubic function for angular induction factor is found from the BEM analysis which is strongly dependant on the drag to lift ratio. It is also observed that the relative wind incidence angle and the local power coefficient of the Magnus cylinder are independent functions of spin ratio. (C) 2013 Elsevier Ltd. All rights reserved.