CORPORATE UPDATE

February 1, 2012 (TSX Venture: LRA) - Lara Exploration Ltd., (“Lara” or the “Company”) announces that pursuant to the terms and conditions of the Company’s Stock Option Plan, a total of 1,030,000 incentive stock options exercisable at $1.20 per share for a period of five years have been granted to certain directors, officers, consultants and employees of the Company.

About Lara: Lara is an exploration company following the Prospect Generator business model, which aims to minimize shareholder dilution and financial risk by generating prospects and then exploring them in joint ventures funded by partners. The Company currently holds a diverse portfolio of prospects and deposits, located primarily in Brazil and Peru, where it has signed agreements for fifteen joint ventures. Lara’s common shares trade on the TSX Venture Exchange under the symbol "LRA".

For further information on Lara Exploration Ltd. please consult our website www.laraexploration.com, or contact Chris MacIntyre, VP Corporate Development, at +1 416 703 0010.

Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.