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Lexaria Delivers Record-High Oil Production for Fiscal

Vancouver, BC Lexaria Corp (LXRP-OTCQB) (LXX-CNSX) (the

"Company" or "Lexaria") is pleased to report that it will deliver record-high

oil production and revenue in the fiscal year that will end October 31,

The Belmont Lake oil field has produced ~43,742 barrels of oil

from November 1, 2011, to October 8, 2012. For the 2012 fiscal year ending Oct

31, 2012, Lexaria expects the field to produce over 47,000 barrels. This exceeds

the ~42,890 barrels produced during the 2011 fiscal year.

During the fourth quarter of 2011, the field produced ~111

barrels of oil per day. During the fourth quarter of 2012, the field is

producing at ~190 barrels per day.

Lexaria is also pleased to report that it has been experiencing

a significant improvement in the price it is receiving for its oil.

Macroeconomic and transportation conditions are such that Lexaria has been

receiving a premium of ~16% to WTI pricing during the fourth quarter. This

compares to having received a ~4% reduction to WTI pricing as recently as the

2011 fiscal year. Together, the premium pricing combined with the higher oil

production rates are leading to significant improvements in monthly cash

Unlike certain mid-continent locations where oil transport

remains a challenge, we are very fortunate to enjoy excellent infrastructure

that is contributing to the premium pricing we are receiving for our oil, said

Lexaria President Chris Bunka.

If current trends continue, Lexaria expects another

record-breaking year of oil production and cash flows, in 2013. Meanwhile,

Lexaria is investigating all avenues at how to best develop its assets and

create increases in shareholder value.

All production figures are unaudited, subject to revision and

provided by the Operator, and normal production declines should be expected.

Slight variations from audited production volumes should be expected. Lexaria

has a 42% WI in wells 12-1 and 12-3 and a 50% WI in wells 12-4 and 12-5.

Lexaria s shares are quoted in the USA with symbol LXRP and in

Canada with symbol LXX. The company searches for projects that could provide

potential above-market returns.

To learn more about Lexaria Corp. visit www.lexariaenergy.com.

FOR FURTHER INFORMATION PLEASE CONTACT:

Chris Bunka CEO/Chairman

FORWARD-LOOKING STATEMENTS

This release includes forward-looking statements. 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 can be no assurance that road or

site conditions will be favorable for field work; no assurance that well

treatments or workovers will have any effect on oil or gas production; no

assurance that oil field interconnections will have any measurable impact on oil

or gas production or on field operations, and no assurance that any expected new

well(s) will be drilled or have any impact on the Company. There can be no

assurance that expected oil and gas production will actually materialize; and

thus no assurance that expected revenue will actually occur. 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 including but not limited to surface flooding 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 and there is

no assurance that the Company will be able to raise required working capital.

Current oil and gas production rates may not be sustainable and targeted

production rates may not occur. Oil well production rates naturally decrease

over time. 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.