The expense incurred in Terrenate, both in the pay and in the reenforcements and other extraordinary demands, is of such nature that it is very heavy, although according to the account, not very adequate; and as yet I have not made it so large as your Majesty has been informed.

It is a fact that, without that drainage of men and money, the expenses here would be much less; and we would get along and live with very small expenditures, and much better.

But it must also be considered that if the enemy enjoy Maluco in quiet, their profits and gains would be very great; and I think they could consequently succeed in whatever plan they wished, and whatever they did would result well.

But because they do not possess it, there is war--in which he will prevail and succeed better who has more tenacity and force, especially on the sea.

He who will remain lord of them will be lord of many profits and riches, which can be taken from these districts.