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specially coals, are inferior to the portions of the same veins or beds more deep-seated. "Nearly as early as the British flag is erected, and, at all events, as soon as it is permanently known to be so, there may be reckoned upon with certainty a large influx of settlers. The best and most numerous of these will be the Chinese. They were settled on the Borneo river when the Borneo government, never very good, or otherwise than comparatively violent and disorderly, was most endurable. "Borneo is, of all the great islands of the western portion of the Archipelago, the nearest to China, and Labuan and its neighborhood the nearest point of this island. The distance of Hong Kong is about 1000 miles, and that of the island of Hainan, a great place for emigration, not above 800; distances which to the Chinese junks--fast sailers before the strong and favorable winds of the monsoons--do not make voyages exceeding four or five days. The coasts of the provinces of Canton and Fokien have hitherto been the great hives from which Chinese emigration has proceeded; and even Fokien is not above 1400 miles from Labuan, a voyage of seven or eight days. Chinese trade and immigration will come together. The northwest coast of Borneo produces an unusual supply of those raw articles for which there is always a demand in the markets of China; and Labuan, it may be reckoned upon with certainty, will soon become the seat of a larger trade with China than the river of Borneo ever possessed. "I by no means anticipate the same amount of rapid advance in population, commerce, or financial resources for Labuan, that has distinguished the history of Singapore, a far more centrical position for general commerce; still I think its prospect of success undoubted; while it will have some advantages which Singapore cannot, from its nature, possess. Its coal-mines, and the command of the coal-fields on the river of Borneo, are the most remarkable of these; and its superiority as a post-office [30] station necessarily follows. Then it is far more convenient as a port of refuge; and, as far as our present knowledge will enable us to judge, infinitely more valuable for military purposes, more especially for affording protection to the commerce which passes through the Chinese Sea, amounting at present to probably not less than 300,000 tons of shipping, carrying cargoes certainly not under the value of 15,000,000_l_. sterling. "Labuan ought, like Singa
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