The city was under naval control, the German Governor being a naval officer. Several war-ships were lying in the harbour. A large force of marines was on shore, and the hills commanding the city and harbour were bristling with cannon. The Germans were spending money without stint. No less than 11,000,000 marks were being expended that year for streets, sewers, water and electric light works, barracks, fortifications, wharves, a handsome hotel and public buildings, while the Government had appropriated 50,000,000 Mex. (5,000,000 a year for ten years) for deepening and enlarging the inner harbour. But in addition to these Government expenditures, many enterprising business men were undertaking large enterprises on their own account. It was apparent to the most casual observer that Germany had entered Shantung to stay and that she considered the whole vast province of Shantung as her sphere of influence. The railway, already referred to in a former chapter, was being constructed into the interior with solid road-bed, steel ties and substantial stone stations. German mining engineers were prospecting for minerals and everything indicated large plans for a permanent occupation. The site of Tsing-tau is beautiful and exceptionally healthful. While the ports of Teng-chou and Chefoo are also in Shantung, the first is now of little importance, for it is on the northeastern part of the promontory with a mountain range behind it so that it is difficult of access from the interior. Chefoo, which was not opened as a port until later, rapidly superseded Teng-chou in importance and continues to grow with great rapidity. But it is plain that the Germans intend to make Tsing-tau, only twenty hours distant by steamer, the chief port of Shantung, and as they have the railroad, they will doubtless succeed.