http://www.bay12games.com/dwarves/dev_single.html"MAGIC: There are no specific decisions nailed down yet, although we've thought about it a lot. It's probably best to go for a very general system here, as in the first Armok attempt. Then the world generator and entities can decide what they want to use from what's available. Early efforts might be to make dwarven artifacts more interesting and to increase the power and variability of enemy leaders, rather than focusing on traditional spell-casting adventurers."
"ARTIFACT ARC: Special items made by the dwarves aren't very interesting right now, and there's not much for an adventurer to do with them. These objects should have magical powers and they should have a huge influence on the actions of entities that come into contact with them. Even if your adventurer can't make use of a particular artifact, you could arrange for buyers in the nobility, and use those opportunitites to get a home or good entity standing, for instance."
"ARTIFACT MAGIC, (Future): An early angle on magic that should find its way into the game. Although ultimately influenced by world parameters, stock DF will likely focus on rare, unique, somewhat mysterious effects without tables, to the extent that that's possible. Some cliches are probably unavoidable, he he he. The artifact process is likely to be changed somewhat to align with this, and artifacts should be created in world-generation and elsewhere during play, though a good player artifact should still have high importance."
"ETCHING, (Future): Etching on items. Could lead to magical runes type stuff."
"WIZARD STUFF, (Future): This bloat was just to remind me about books and all kinds of magic stuff arc."
These are the points directly relating to magic in the full devlog, there's also a bunch of comments throughout the various DFtalks that I cba digging up. Magic is most certainly planned though. I strongly recommend everyone who hasn't to give the old devlog a quick read-through, it gives a good idea of the scope of what's planned to come the next 20 years of development ;P
/ninjaed