The Sirdar had no difficulty in coming to a satisfactory arrangement with General Caneva, the Italian commander. The fort was to be occupied by an Egyptian force, the stores and armament to be purchased at a valuation, and a force of Italian Arab irregulars to be transferred to the Egyptian service. Sir H. Kitchener then returned to the Nile, where the situation had suddenly become acute. During November Colonel Parsons, the 16th Egyptian Battalion, and a few native gunners marched from Suakin, and on the 20th of December arrived at Kassala. The Italian irregulars— henceforth to be known as the Arab battalion—were at once despatched to the attack of the small Dervish posts at El Fasher and Asubri, and on the next day these places were surprised and taken with scarcely any loss. The Italian officers, although a little disgusted at the turn of events, treated the Egyptian representatives with the most perfect courtesy, and the formal transference of Kassala fort was arranged to take place on Christmas Day.
An imposing ceremonial was observed, and the scene itself was strange. The fort was oblong in plan, with mud ramparts and parapets pierced for musketry. Tents and stores filled the enclosure. In the middle stood the cotton factory. Its machinery had long since been destroyed, but the substantial building formed the central keep of the fort. The tall chimney had become a convenient look-out post. The lightning-conductor acted as a flagstaff. The ruins of the old town of Kassala lay brown and confused on the plain to the southward, and behind all rose the dark rugged spurs of the Abyssinian mountains. The flags of Egypt and of Italy were hoisted. The troops of both countries, drawn up in line, exchanged military compliments. Then the Egyptian guard marched across the drawbridge into the fort and relieved the Italian soldiers. The brass band of the 16th Battalion played appropriate airs. The Italian flag was lowered, and with a salute of twenty-one guns the retrocession of Kassala was complete.