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Show flE WAR NEWS. Tho Chilian Rebels Seem to be Victorious In Kvery Engagement. En-gagement. Tie Chileo Arohipeligo Taken Porsessipn of by the War Vessels of the Insurgents, ALMOST EVEEY POST BLOOKADED, President Halinaeeda Has An-uouneetl An-uouneetl Ills 'Willingness to Make Terms. The Rebels Insist That He Must Resign or the War Will Go On. SOME COMPROMISE IS PROBABLE. A Sharp Kngag.ment llatwean Marine Which Resulted In a OoTaroru.nl Defeat. Buenos Aykes, Jan. 31. War news continues to filter from Chili into this republic, but it must be admitted that the information received seems to come ' in the main from sources favorable to the insurgents and unfavorable to the Chilian government. Valdivia port, or Corral, and the seaport sea-port town of Valdivia, sixteen miles from the mouth of the Callacalla river, is now blockaded by the war vessels nf the insurgents. The insurgents' warships war-ships are also blockading the island of Chileo and the Chileo arohipeligo. Their ships are patrolling the gulf of Ancud, thus cutting off all connection between the island and mainland. One rebel vessel is lying off Ancud, the capital of the island of Chileo. Insurgent Insur-gent marines from that vessel have oc- cupied Ancud. Tho Chileo archipelago consists of about sixty small islands, with a population popu-lation of 80,000 souls. The insurgent warship which anchored an-chored off Ancud recently left that place in charge of marines and had loaded and steamed away to capture " another port. While this vessel was absent a ship having government troopers troop-ers on board appeared off Ancud. She hoisted the BritSsh flag and tried to land the troops she had on board. The . insurgents, however, detected the strat-gem strat-gem aud opened fire upon the government govern-ment vessel. The latter replied with a v rapid tire of guns and small arms, but aflet a sharp engagement the govern ment vessel was disabled and had to Jeve the port of Ancud in the hands of the victorious insurgents, v vjj FpesidenliJaltnaoeaa is Bow-!id.to ' I , ; have announced his willingness to ne-r ne-r A "i t0,l,t? "tOTflw o' peace with the eWreBWs whwseem victorious oo. aU mates: j ; is. One stipulation insisted upon by the v presidoat, if the negotiations proceed, is that the port of Vnlpariso is not to be blockaded while the parleying continues. con-tinues. ... The rebels it is added, insist that President Baliiiaccda resign. Some compromise favorable lo the interests of European merchants and tinenciers is looked forward tj according to the latest advices. Gold, closed lure today at 225 premium. |