Local Nginx Configuration base from https://www.magentocommerce.com/wiki/1_-_installation_and_configuration/configuring_nginx_for_magento

mag.matata.com.nginxconf

# You may add here your
# server {
#   ...
# }
# statements for each of your virtual hosts to this file

##
# You should look at the following URL's in order to grasp a solid understanding
# of Nginx configuration files in order to fully unleash the power of Nginx.
# http://wiki.nginx.org/Pitfalls
# http://wiki.nginx.org/QuickStart
# http://wiki.nginx.org/Configuration
#
# Generally, you will want to move this file somewhere, and start with a clean
# file but keep this around for reference. Or just disable in sites-enabled.
#
# Please see /usr/share/doc/nginx-doc/examples/ for more detailed examples.
##

server {
    #listen 80;
    server_name mag.matata.com;
    root /home/ubuntu/www/mag.matata.com;

    location / {
        index index.php;
        try_files $uri $uri/ @handler;
        expires 30d;
    }

    location ^~ /app/                { deny all; }
    location ^~ /includes/           { deny all; }
    location ^~ /lib/                { deny all; }
    location ^~ /media/downloadable/ { deny all; }
    location ^~ /pkginfo/            { deny all; }
    location ^~ /report/config.xml   { deny all; }
    location ^~ /var/                { deny all; }

    location /var/export/ {
        auth_basic           "Restricted";
        auth_basic_user_file htpasswd;
        autoindex            on;
    }

    location  /. {
        return 404;
    }

    location @handler {
        rewrite / /index.php;
    }

    location ~ .php/ {
        rewrite ^(.*.php)/ $1 last;
    }

    location ~ .php$ {
        if (!-e $request_filename) {
            rewrite / /index.php last;
        }

        expires                 off;
        fastcgi_pass            unix:/var/run/php5-fpm.sock;
        fastcgi_send_timeout    1800;
        fastcgi_read_timeout    1800;
        fastcgi_connect_timeout 1800;
        fastcgi_param           SCRIPT_FILENAME  $document_root$fastcgi_script_name;
        fastcgi_param           MAGE_RUN_CODE default;
        fastcgi_param           MAGE_RUN_TYPE store;
        include                 fastcgi_params;
    }
}

# another virtual host using mix of IP-, name-, and port-based configuration
#
#server {
#   listen 8000;
#   listen somename:8080;
#   server_name somename alias another.alias;
#   root html;
#   index index.html index.htm;
#
#   location / {
#       try_files $uri $uri/ =404;
#   }
#}


# HTTPS server
#
#server {
#   listen 443;
#   server_name localhost;
#
#   root html;
#   index index.html index.htm;
#
#   ssl on;
#   ssl_certificate cert.pem;
#   ssl_certificate_key cert.key;
#
#   ssl_session_timeout 5m;
#
#   ssl_protocols SSLv3 TLSv1 TLSv1.1 TLSv1.2;
#   ssl_ciphers "HIGH:!aNULL:!MD5 or HIGH:!aNULL:!MD5:!3DES";
#   ssl_prefer_server_ciphers on;
#
#   location / {
#       try_files $uri $uri/ =404;
#   }
#}