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is still in a flooded state, so that I had some difficulty in getting over by a tree which was partly under water. I have now got the little flock here, shorn; we finished to-day 96 sheep, principally of those which I bought from Henty, brought from Van Dieman's land. Some of them have a fleece more like goat's hair than wool, but their lambs are large and fine, and I expect that the wool from the cross of the pure Saxon will be valuable, as the ewes are very large but the fleece of this lot is hardly worth sending home this year, as some of them had the scab when I got them, and it was for the purpose of curing it thoroughly that I had them shorn soon. One of the cows had a very large bull calf this morning. Bought a cask of beef which stands me about 1s. 4½d. per lb. (American beef), but it is so vile and smells so badly that the men are on the point of mutinying. Oh for some of Sherlock's good sweet prime new pork! The men are making merry in the kitchen to-night; they had an extra allowance of rum, and have just sent in for more. There are some strange men there who help to keep it up.

Sunday.—Returned late last night. Could not get the horse across the river, the water was too high. We have had much more rain this month, than in the same month in any other year since we came here. An expedition which was to have started to explore the district of the Hotham between this and King George's Sound is delayed for some days longer to let the ground dry sufficiently before they start. The Governor is going along with them, with the intention of pushing on from that on horseback as far as "Doubtful Island bay," about 100 miles further East than King George's Sound. If there be a good tract of land there, and a harbour, it will probably come into repute at once and supersede King George's Sound. We shall wait the result of this expedition with much anxiety.

Old Mr. Henty has "squatted" himself on an unlocated district along the coast outside of this territory, at Portland,