VANCOUVER, BC, Jul 18, 2007 -- Lexaria Corp. (OTCBB: LXRA) (the "Company" or "Lexaria") announces that it has received $1,050,000 in gross proceeds as a result of a recent equity financing.
The private placement was comprised of the sale of 2,100,000 units at the price of $0.50 per Unit for total gross proceeds of $1,050,000. Each Unit is comprised of one restricted common share and one warrant (the "Warrant") to purchase one additional share of common stock, exercisable for a period of two years from the closing of this offering. The exercise price of the Warrants is $0.60. Assuming that all of the Warrants are exercised by the holders, the gross proceeds received by the Company from the Warrants will equal approximately $1,260,000. No commissions are being paid on this equity financing which is being issued only to accredited investors.
The funds for the Units have been received. The proceeds of this financing will be used for further development and drilling in Mississippi where previous drilling has encountered a success rate of over 70%.
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 30% and 50% 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 may not have sufficient funding to thoroughly explore, drill or develop its properties. Access to capital, or lack thereof, is a major risk. 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.
Contact:
Leonard MacMillan
1-800-287-2885
www.lexariaenergy.com
