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December 16, 2011 VANCOUVER, BC — Lexaria Corp. (the "Company" or "Lexaria") (LXRP-OTCBB) (LXX-CNSX) announces that a new oil well, the PP-F12-7, will commence drilling as soon as local weather and field conditions permit. The location of the 12-7 well will be approx 330 feet South-East of the original Belmont Lake discovery well, the 12-1 well. The 12-7 well location is one of four remaining PUD (Proved Undeveloped) well locations according to Lexaria’s most recent third party engineering report. In addition, the existing 12-1 and 12-3 wells will undergo significant reworks designed to increase existing oil production rates and ultimately recover more oil than currently possible. The re-works will, among other things, include the installation of larger diameter production lines, and additional perforations of approximately double the extent of the original perforations, slightly higher in the formation. Current field conditions do not allow access for the well drilling and the reworking, due to high river levels. Lexaria, its operator and co-owners, are monitoring forecasts which currently point to a possibility of conducting this work in January. “We are excited to be drilling another new well at Belmont Lake,” said Chris Bunka, President of Lexaria, who continued “We have solid expectations that this will be a successful well and we hope for a meaningful increase in field production as a result.” Lexaria has a 42% interest in the new 12-7 well as well as in the 12-1 and 12-3 wells that are being worked over. Lexaria has a 50% interest in two other wells in the field, the 12-4 and 12-5 wells. The earlier proposed new 12-6 oil well will not be drilled at this time to accommodate the rework program for the other wells. To learn more about Lexaria Corp., visit www.lexariaenergy.com On behalf of the board Mr. Chris Bunka, President Contact: Forward-looking Statements This release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Statements which are not historical facts are forward-looking statements. The Company makes forward-looking public statements concerning its expected future financial position, results of operations, cash flows, financing plans, business strategy, products and services, competitive positions, growth opportunities, plans and objectives of management for future operations, including statements that include words such as "anticipate," "if," "believe," "plan," "estimate," "expect," "intend," "may," "could," "should," "will," and other similar expressions are forward-looking statements. Such forward-looking statements are estimates reflecting the Company's best judgment based upon current information and involve a number of risks and uncertainties, and there can be no assurance that other factors will not affect the accuracy of such forward-looking statements. It is impossible to identify all such factors but they include and are not limited to the existence of underground deposits of commercial quantities of oil and gas; cessation or delays in exploration because of mechanical, weather, operating, financial or other problems; capital expenditures that are higher than anticipated; or exploration opportunities being fewer than currently anticipated. There is no assurance the Company will have sufficient funds to drill additional wells, or to complete acquisitions or other business transactions. Such forward looking statements also include estimated cash flows, revenue and current and/or future rates of production of oil and natural gas, which can and will fluctuate for a variety of reasons; oil and gas reserve quantities produced by third parties; and intentions to participate in future exploration drilling. Adverse weather conditions can delay operations, impact production, and cause reductions in revenue. The Company may not have sufficient expertise to thoroughly exploit its oil and gas properties. The Company may not have sufficient funding to thoroughly explore, drill or develop its properties. Access to capital, or lack thereof, is a major risk. Current oil and gas production rates may not be sustainable and targeted production rates may not occur. Factors which could cause actual results to differ materially from those estimated by the Company include, but are not limited to, government regulation, managing and maintaining growth, the effect of adverse publicity, litigation, competition and other factors which may be identified from time to time in the Company's public announcements and filings. The CNSX has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. |