About this time the Portuguese cruisers had taken twenty-seven ships belonging to the zamorin, all richly laden.  Being perplexed by the great losses he was continually sustaining through the Portuguese superiority at sea, the sovereign of Calicut made overtures towards an accommodation; and in a treaty of peace gave permission to the governor-general to build a fort in the island of Chale, in a river that falls into the sea about three leagues from Calicut, which is navigable by boats all the way to the foot of the Gaut mountains. Urinama, a heathen, was at this time rajah of Chale, and both he and the neighbouring rajah of Tanore, who were subjects to the zamorin, were anxious to throw off their subjection to that prince, and to enter into alliance with the Portuguese, in hopes of becoming rich by participating in their trade.  Immediately upon procuring the consent of the zamorin to construct the fort, Nuno set out from Goa with 150 sail of vessels, in which were 3000 Portuguese troops and 1000 native Lascarines.  So much diligence was used in carrying on the work, even the gentlemen participating in the labour, that in twenty-six days it was in a defensible situation, being surrounded by a rampart nine feet thick and of sufficient height, strengthened by towers and bastions or bulwarks at proper places.  Within the fort a church was built, together with a house for the commander, barracks for the soldiers, and store-houses for trade.  Diego de Pereira, who had negotiated the treaty with the zamorin, was left in command of this new fortress, with a garrison of 250 men; and Manuel de Sousa had orders to secure its safety by sea, with a squadron of twenty-two vessels.  The zamorin soon repented of having allowed this fort to be built in his dominions, and used ineffectual endeavours to induce the rajah of Chale, Caramanlii, and Tanore to break with the Portuguese, even going to war against them, but to no purpose.

About the end of February 1532, Emanuel de Vasconcelles was sent to the Red Sea with two galliots and several brigantines to cruise against the Turks.  Off Xael he captured several Turkish vessels, among which, was a large ship, named Cufturca, which was sent to Muscat.  The king of Xael, fearful of danger, made his peace with Vasconcelles.  Soon afterwards Antonio de Saldanna arrived with ten ships to take the command in the Red Sea, who was dissatisfied with the terms entered into with the sheikh of Xael, on which that prince sent all the valuables belonging to the town, together with the women and children into the interior, that he might provide for defence; but being obliged to quit the Red Sea on account of the weather, Saldanna sailed first to Muscat and thence to Diu, where he took several vessels belonging to the enemy, among which was one in which he got above 60,000 Venetian chequins.  About the same time Diego de Sylveira plundered and burnt Puttun, a city twelve leagues from Diu, and destroyed four ships that were in the harbour.  He acted in a similar manner at Pate and Mangalore and other places, and returned to Goa with above 4000 slaves and an infinite booty.