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Magic Essence is an item added by Better Dungeons. It is the collection of all the other essences found from the Better Dungeons mod. It can also be found as rather common loot in battle towers and large pirate ships.
The Magic Essence is crafted using one of each type of Essence. (Darkness, Electric, Fire, Life, Ice, Poison, Water, and Wind)
Magic Essence is used to make staffs with a stick and a diamond which can be turned into the essences corresponding staff