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[Page 2]
Marines who commanded them has been very active and has turned that settlement to an immediate advantage by employing the refracting Irish in mining the coals & procuring Cedar for the inhabitants here which produces a profit to Government as you will discover by one of our Gazettes. Cayley [Caley] & Mr Bauer have both been there and are much gratified with what they got & saw there altho the season of the year was unfavorable. I send you a copy of the letter I have received from Lieutt. Menzies of the present progress of the coal works, and also a Box which will be sent to the Custom Houses containing some Blocks of coal that has been got from the Government part of their works.
I suppose you have heard long before now of the Instructions I received from Lord Hobart to withdraw a part of the settlement from Norfolk Island and to send them to Port Dalrymple - seventy to the date of that dispatch June 24, 1803. It must be supposed that the Settlement at Port Phillip was considered as fixed at Port Phillip and from the accounts sent by me of the reported intention of the French to settle Van Diemans Land I presume that idea operated