The relinquishment of the settlement at Norfolk Island, under Governor King's administration, after the money that had been spent upon it, and the success which was attending that expenditure, might well appear to be a hasty and imprudent act; but, undoubtedly, in its consequences it turned out beneficial to Great Britain. Instead of Norfolk Island, another much larger, and far more important spot, which might otherwise have been occupied by foreigners, was colonized by British subjects; and Van Diemen's Land, from the extent of its present wealth and population, besides its nearer resemblance than other Australian colonies to the climate of the mother country, may justly be esteemed one of the most valuable possessions of the British crown. The history of the foundation of this new colony may here be shortly detailed. It was resolved that a fresh settlement, which might be free from the objections brought against Norfolk Island, should be formed; and, in 1804, Port Phillip, an extensive harbour on the southern coast of New Holland, was the spot chosen for this purpose. But Colonel Collins, who had the command of the party of colonists, found the eastern side of Port Phillip very little suited to his object; and without examining its western side, which has been lately very rapidly and successfully settled, the colonel sailed at once along the western coast of Van Diemen's Land, took possession of that extensive island in the name of his Britannic Majesty, and, after various surveys, decided upon the spot where Hobart Town now stands, for his headquarters. The little settlement then consisted only of a few gentlemen holding official situations, fifty marines, and four hundred prisoners. The place selected for headquarters was well chosen, being upon the Derwent, a beautiful and navigable river, and having a good supply of water. In the same year, 1804, another settlement was formed on the opposite, or northern, side of Van Diemen's Land; it was situated at the mouth of the River Tamar, near George Town, and was called York Town, but it was afterwards abandoned. The usual trials to which newly-planted colonies are exposed, fell also to the lot of that settled by Colonel Collins in Van Diemen's Land; but its struggles into life were by no means so intense, or so prolonged, as those of its sister colony. At one time when a disappointment occurred in the usual supplies, the hind-quarters of kangaroos were received into His Majesty's store, at sixpence per pound, and it is said that in six months no less than 15,000lbs. of this meat were there tendered. After some years of occasional scarcity, during which, once, even kangaroo flesh was sold at one shilling and sixpence the pound, and sea-weed, or any other eatable vegetable, was equally dear, the colony began to take root and to increase, still continuing, however, its original character of a penal settlement--a place of punishment for the convicted felons of New South Wales.