traffic secretly with the English. Suddenly, however, about midnight,
they were seen to take their departure, and the vessel, bursting into
flames, was discovered to be a fire-ship.

The vessels slipping their cables, by great exertions put to sea and
escaped damage. On their return they were alarmed by observing a fleet
of canoes full of armed men steering towards them. Their joy was great
when they discovered that the new-comers were a party of buccaneers,
mustering two hundred and eighty men, English and French, who had
crossed the isthmus on an expedition to the South Sea. About eighty of
the former entered with Davis and Swan, and the vessels which had before
been captured were given to the remainder. Their force was further
increased by another party numbering one hundred and eighty, all
British, under Captain Townley. Three other parties shortly afterwards
arrived, mustering two hundred and sixty-four men.

With a force amounting in all to about one thousand men, they resolved
to attack Panama. Before, however, making the attempt, they ascertained
from intercepted letters that the Lima fleet was at sea, and they
resolved to capture it in the first place. Their squadron now consisted
of ten sail, but the _Bachelor's Delight_ and _Cygnet_ were the only
well-armed vessels, while the Spanish fleet amounted to fourteen,--two
of which carried forty guns, one thirty-six, another eighteen, one
eight, and two fire-ships, all supplied with numerous crews.

At length, sighting the enemy, they bore down before the wind; but the
Spaniards kept close on a wind, and although a few shots were exchanged,
succeeded in avoiding their assailants until nightfall. A light was
then seen hoisted on board the Spanish Admiral's ship. This was
supposed to be a signal for his fleet to anchor. After some time it was
lowered, but was again seen to leeward. Consequently the buccaneers
steered for it during the night. Great was their disgust when morning
broke to discover the Spanish fleet well to windward, a small bark
having conveyed the lantern to leeward, and thus placed them in a
dangerous position. The Spaniards now got under weigh and bore down
before the wind, compelling the buccaneers to retreat.

A running fight ensued, but the Frenchmen kept out of the way, and the
rovers, bold as they were, dared not, in their small vessels, come to
closer quarters. All hopes of the capture of the long-looked-for Lima
fleet was t