SOURCE: Lexaria Corporation

March 15, 2007 09:00 ET

Operations and Production Update in Mississippi and Oklahoma

JACKSON, MS -- (MARKET WIRE) -- March 15, 2007 -- Lexaria Corp. (OTCBB: LXRA) (the "Company" or "Lexaria") Additional well drilling and production progress continues to be made both in Mississippi and Oklahoma.

In Mississippi, production testing has been conducted on two previously completed wells. The previously completed Faust #1 well has now been production-tested on a 6/64" choke, at approx. 283,000 cubic feet per day at pressures of over 800psi. Longer term production is expected at approx. 200,000 cubic feet per day once the connections are made to a nearby pipeline. As well, the previously completed CMR-USA-39-14 has also undergone testing and is in production and currently selling gas at approx. 140,000 cubic feet per day on a 6/64" choke.

Both of these wells are in the Company's Phase II drill program in which it has a gross interest of 40% in an AMI of 50 wells. The next well in this program is expected to spud within 30 days or less. Relatively high water levels near the Mississippi River have temporarily delayed the connections of some wells to pipelines, from both this Phase II drilling program as well as the earlier completed Phase I drilling program, but this is expected to be only a temporary condition and all successfully completed wells will be connected as soon as local conditions allow.

At the Owl Creek property in Oklahoma, the previously announced Isbill#2-36 was spud on February 24, 2007. This well has now virtually reached total planned depth of 5,900 feet. Logging of this well will begin as soon as possible, and additional information will be released as it becomes available. In an earlier press release, Lexaria reported an incorrect target depth for this well. Lexaria has a 7.5% gross interest in this well and remaining drilling prospects of the Owl Creek property.

About Lexaria Corp.

Lexaria Corp. is an oil & gas company active in Mississippi, Oklahoma and in Alberta, Canada. The main focus currently is Mississippi, where it holds between 20% and 40% gross interests in various gas and oil projects. Lexaria routinely evaluates additional oil & gas projects and corporate opportunities.

Statements which are not historical facts are forward-looking statements. The Company makes forward-looking public statements concerning its expected future operations, performance and other developments. 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, operating, financial or other problems; capital expenditures that are higher than anticipated; or exploration opportunities being fewer than currently anticipated. The Company has no official gas or oil reserves at this time and may not have sufficient funding to thoroughly explore, drill or develop its properties. 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.

Press Release #200704

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