Douglas Lake Minerals and Joint Venture Partner Canaco Resources Initiate Drilling at Morogoro.

VANCOUVER, British Columbia -- Douglas Lake Minerals, Inc. (OTCBB:DLKM) and Canaco Resources, Inc. (TSX VENTURE:CAN) commenced their drilling program at the company's 150-square-kilometre Morogoro property located in the Kilosa district of east-central Tanzania. The Morogoro property is the first of Douglas Lake Mineral's 33, 100% owned properties that Canaco Resources has exercised an option on.

The Phase 1 drilling program will consist of approximately 25 holes for a total of 2,500 metres and is being initiated with the objective to establish a geological context for the unusual setting of gold mineralization in high-grade metamorphic rocks. Drill targets have been generated through geological mapping and generally consist of areas where artisanal workings have exposed bedrock gold mineralization in sheared, shallow-dipping sections of garnetiferrous, quartzo-feldspathic and biotitic gneisses. Gold mineralization within the exposed geological units occurs as multiple narrow (10cm to 50cm) quartz veinlets and/or silicified zones, containing high-grades of fine visible gold. The drills used will have a 'diamond' bit commonly used by sophisticated drilling operations. Geological mapping indicates that the mineralization occurs conformably within foliation parallel horizons that have been the subject of preferential structural preparation.

The results of phase 1 drilling will give an indication as to the depth, extent and continuity of gold mineralization at a few localities within the 14-square-kilometre area in the east-central portion of the Morogoro property from which bedrock gold mineralization and artisanal mining activity has been documented. As such, this information will complement the ongoing regional program of prospecting and geological surveying as Canaco's exploration personnel prepare the property for advanced exploration programs. The drilling program at Morogoro will be completed prior to the end of the fourth quarter of 2006.

Full Report Available At: http://www.investornewsalerts.com/DLKM101206.html.

Exploration Video Available At: http://www.investornewsalerts.com/index_player_dlkm.html.

About Douglas Lake Minerals, Inc:

A Royalty-Based Company, our vision at Douglas Lake Minerals is to focus on exploring and developing gold, copper, nickel, uranium and diamond mining opportunities in Tanzania, a country with vast amounts of undeveloped mineral-rich natural resources. We are exploring and developing our large portfolio of prospecting concessions through royalty-based joint venture partnerships. Our strategy is to provide investors with considerable upside potential while minimizing future shareholder dilution through our royalty partnership (www.douglaslakeminerals.com).

Additional information on Canaco Resources, the Morogoro gold prospect, technical reports and other public documents are available at www.sedar.com or at the company's website, www.canaco.ca.

NOTE: No Exchange has either approved or disapproved the information contained herein. This news release many contain forward-looking statements based on assumptions and judgments of management regarding future events or results that may prove to be inaccurate as a result of exploration and risk factors beyond its control; and actual results may differ materially from expected results. The Company will not update forward-looking statements as conditions change. Factors that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's quarterly and other periodic filings with the SEC.