Ok, I like the description, but the part about generating electricity from the engine using an MHD system is incorrect. You can't make electricity with heat without work. The part about closed loop gas turbines and steam systems can be done, but in order to generate a current, something has to be moving.
If you want to generate a current with a magnet, you make the magnet move. So, if the plasma is flowing around a donut shaped generator (I'm assuming this shape otherwise it won't work), the charge in the plasma is also moving. Then, using the highly sophisticated right hand rule (that's a joke, it's stupidly simple), a magnetic field would spiral around the plasma stream. If you have conductors, or wire, spiraled around the donut shaped generator, the magnetic field will induce a charge along their length and produce an electric current.
This phenomenon works with a current moving through any wire. It's how those invisible dog fences work, and also the reason why twisting a dog fence wire back on itself creates a dead spot. The charge flows move in opposite directions, and therefore so do the spiraling fields, so nothing happens to woofy when he gets near.
MHD appears to work by having fluid conductors, so heat may affect their ability to conduct, making them more or less resistive, but there is no substance that generates electricity endlessly simply by being in the presence of heat.
well im no expert when it comes down to how the engines work, this is just the best thing i can come up with for a basic over veiw of mechs, not to say that i am EVER accurate, but im damned precise.