embarrassed with a debt of three thousand pesos, it remained with less than twenty-five thousand of debt, which was borrowed from citizens.  I despatched from here Sargento-mayor Antonio Carreno de Valdes, with all the necessary supplies and two galleys.  He is a person remarkably fit for this purpose, and an excellent servant of your Majesty.  He left Cagaian on the fifth of May and arrived on the eleventh at the place where his instructions directed, which is at the head of the island, at twenty-five degrees north.  He explored the bottom and anchored with all his fleet in the best port imaginable, a remarkable favor from heaven, if those of Japon are closed to him [MS. holed].  It is distant from the mainland of China eighteen leguas, and has a depth at the entrance of eighteen brazas, and a capacity of five hundred ships.  The site if the fortification is naturally very strong, all of which appears by his plan which accompanies this.  He found a village of fifteen hundred houses built of fragrant woods, with a people like [MS. defective] somewhat lighter in color and differing in language [19] [MS. holed] thanks be to God.  The fortification was under way and in the despatch[-boat] which he sent me with the information there were a hundred and twenty picos of iron pikes and two hundred and thirteen arrobas of sulphur, which is brought from Castilla for the powder.  They have supplies for a year; and the enterprise is already proving advantageous.  It is most expedient that this should be furthered, on account of the great advantages which will result from this post being in the vicinity of China; in that locality there are excellent water, Castilian fruits, and partridges, although these have not red beaks.  Since some evil-intentioned person has tried to make the governor think, as he is new in the knowledge of this country, that this will commence a new war, I shall tell him what I think, leaving to time the results.  Let it not appear that I am praising my own cares, because I seek no other reward for my services except that of rendering them to so great a king.

In the first place, the trade of the enemy is established and that from this country has stopped; but, as this is without the knowledge of the king of China, he will, as soon as his attention is called to it, take rigorous measures to prevent the Dutch trade.  By the measures which I have set on foot, this object could be secured by the galley, which could patrol the coast.  For fifty years they [i.e., the Chinese] have had proved the steadiness of our trade and the abundance of our silver, and they have desired nothing further than to see us with a post where they can seek us without danger, as they will do at present; for in so short a distance, and with so strong currents [in the sea] the enemy cannot disturb our post—­from which will result the dismantling of his fort, for he will be outside the line of traffic and on the coast opposite.  On the other hand the