Looks interesting. I'm not sure I like the idea that all magic has to come from darkness, though. Is that a part of this game or am I thinking of something else? (Just waking up, but wanted to make sure I posted before it was dropped)
No, magic is a strange force that the military wanted to exploit for the war effort only to have it picked up by civilians. Magic is neutral, it all depends on the users.
Are the charachters ment to be new students. Should they have magical items already or just start out fairly normal. I was also looking at the transmutation ability but am not quite sure how the point cost works.
Ok, because of supernatural events and the possible summoning of demons plus the potential for abuse by students, the school council decided that everyone gets a magically imbued weapon they can use. If they want to forgo this magical item, they can feel free to do so.
As far as transmutation... (digs out rulebook) Ok, you can spend either 6, 8, 10 or 12 points on it. 12 points gives you unlimited ability to transmute, 10 points lets you do any solid object, 8 points is a major class (food, swords, arrows, etc), and 6 points is for things like lead to gold, food to spoiled food and vice versa. It still only lasts 1 minute, you can only do up to 100kg (check for levels) and anything done within someone else's radius means you must roll an offensive action.