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Tuesday Morning, 23d.

Two companies reached here this morning, from Georgia and South Carolina. Business is partially suspended; the enthusiasm of the people is high; its tone is of the right sound — its echoes are, Æ Victis. It is reported that Pendergrass offered to resign to Commodore Paulding, who commanded the forces here and came up in the Pawnee. If he has been done injustice, I hereby retract what I have written; though I know he was in the Yard during Saturday, witnessing the destruction going on on that day.

The work at the former United States Hospital is vigorously progressing. In addition to the embankments raising, there are 150 cotton bales. Fixtures for heating shot were erected yesterday, while I was on the ground. The true mechanics here deserve the eternal gratitude of the country. Gallant old Hopkins, and Parks, a true Irishman, and Southern in feeling, and others whose names I cannot give you now, are invaluable men, with clear heads and sinewy arms. They are the Tubal Cains in our midst. Yours, H. W.

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