Download the Intel graphics card installer.
The Intel Linux Graphics Installer allows you to easily install the latest graphics and video drivers for your Intel graphics hardware. This allows you to stay current with the latest enhancements, optimizations, and fixes to the Intel® Graphics Stack to ensure the best user experience with your Intel graphics hardware. The Intel® Linux Graphics Installer is available for the latest versions of Ubuntu and Fedora.
Once downloaded, just press Ctrl+Alt+T on your keyboard to open Terminal. When it opens, navigate to the downloads folder, and run the command(s) below:
sudo dpkg -i <package_name>.deb
Once installed, run the installed app, and it will detect, and download the right driver for you.
Edit
This driver file has been tried on 12.04 fully updated, and it worked OK, but if for any reason it gives an error or a problem you can download version 1.0.1 here. Keep in mind this is the 32bit version.
Edit 2
Try this, just press Ctrl+Alt+T on your keyboard to open Terminal. When it opens, run the command(s) below:
sudo apt-add-repository ppa:glasen/intel-driver
sudo apt-get update
sudo apt-get install xserver-xorg-video-intel
Source:Intel