We describe the design and construction of a laser-polarized 129Xe production and delivery system that is used in our in vitro and in vivo magnetic resonance imaging (MRI) experiments. The entire apparatus including lasers and optics, rapidly actuated valves, heating and cooling, and transport tubing lies in the high magnetic field environment of a 2 T MRI magnet. With approximately 7.5% 129Xe polarization, 157 cc atm of xenon gas is produced and stored as xenon ice every 5 min. Large quantities of polarized 129Xe can be obtained by cycling this process. The xenon is subsequently delivered in a controlled fashion to a sample or subject. With this device we have established the feasibility of using laser-polarized 129Xe as a magnetic tracer in MRI. This reliable, effective, and relatively simple production method for large volumes of 129Xe can be applied to other areas of research involving the use of laser-polarized noble gases. © 1999 American Institute of Physics.