Lexington Resources Announces $1,000,000 Private Placement

Lexington Resources, Inc. (OTC Bulletin Board: LXRS) has raised $1,000,000 in private placement funding for corporate development initiatives including target gas lease acquisitions. In addition, the Company has received $400,000 through the issue of a convertible promissory note to be utilized for future drilling operations.

The Company entered into agreements with certain accredited investors for the sale of common stock and warrants for gross proceeds of approximately $1,000,000. Pursuant to such agreements, the Company has sold an aggregate of 400,000 common shares and will issue warrants to purchase an aggregate of approximately 200,000 common shares at an exercise price of $5.00 per share. The Company incurred customary fees and expenses in connection with the offering, including the payment of placement agent fees in the aggregate of 40,000 restricted common shares to the placement agent. The securities offered have not been registered under the Act and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements.

The terms of the convertible promissory note include simple interest payable at prime plus 1% per annum over a one-year term, convertible during the term into common shares in the capital of the Company at $5.00 per share.

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