(*Footnote. It is on this hill that the penal settlement of Port Macquarie is now built, the situation having been selected at the recommendation of Lieutenant Oxley. It was settled by Captain Allman of the 48th regiment in the early part of the year 1821.) The banks of the river on both sides were thickly wooded; in most parts the country is open and grassy and is profusely timbered with the varieties of eucalyptus that are common at Port Jackson. There is however a great extent of brushland in which the soil is exceedingly rich, and in which the trees grow to a large size; these, being covered with parasitical plants and creepers of gigantic size, render the forest almost impervious: it is in these brushes that the rosewood and cedar-trees grow, and also the fig-tree before alluded to; this last tree is of immense size and is remarkable for having its roots protruding from the base of the stem, like huge buttresses, to the distance of several yards. The natives are numerous, but they appear to depend more upon hunting than the sea for their subsistence. This I judged from the very inferior state of their canoes which are very much less ingeniously formed than even the frail ones of the Port Jackson natives; being merely sheets of bark with the ends slightly gathered up to form a shallow concavity, in which they stand and propel them by means of poles. Their huts are more substantially constructed and more useful as dwellings than any to the southward, and will contain eight or ten persons; while those to the southward are seldom large enough to hold three; they are arched over and form a dome with the opening on the land side; so that they are screened from the cold sea-winds, which, unless they blow in the character of the sea-breeze, are generally accompanied by rain. Kangaroos are very numerous, and from their traces appeared of large size; but we saw neither emus nor native dogs. As a port this place will never be the resort of vessels of larger burthen than 100 tons, there not being more than ten feet water on the bar; which on account of the swell will not admit vessels of a greater draught than nine feet: this is a great drawback upon its prosperity; but the small coasting vessels from Sydney will be sufficiently large for the purposes of conveying produce to Port Jackson. It cannot long remain as a penal establishment for its utility in that respect is already lost, since the convicts find their way back to the colony as soon as an opportunity offers of escaping; and then, for fear of detection, remain concealed in its outskirts, and are necessarily driven to plunder and rob for subsistence.