intelligent correspondent who visited the canal works several months ago found the machinery scat tered about rusted covered with dirt and fast going by the French government to visit the locality inspect the machinery and report upon its condition. The people in charge set immediately to work to collect arrange and paint the mechanisms. They suc ceeded so well that the commissioners are reported as expressing themselves as agreeably surprised to find things in such good order and so well cared for. Our correspondent himself saw the wonderful effects of the paint. He said it made the old irons look brand new. The project now brought forward for completing the canal is to imitate as far as possible the condition of the Nicaragua Canal route namely to create a large inland lake to occupy the high center of the isthmus with short sea level canals as approaches to the lake. Locks will be used to raise the ships from the levels to the lake. This new plan is the proposal of M. Santereau and it is claimed it can be realized at an expenditure of one hundred millions of dollars. M. Santereau's scheme is to construct a canal that would allow of the swift and easy passage of vessels and would render healthy and habitable a large area of land that at present suffers from the juxtaposition of swamps and marshes. The project in short is to make a lake in the interior by means of the water from the river Chagres. It would cover the unhealthy swamps that at present render the surrounding land uninhabitable and would enormously increase the value of the 500000 hectares of land owned by the Panama Company. As this lake would be 24 kilo meters in length it would only be necessary to cut 50 kilometers and nothing would impede the course of vessels along this waterway but the strong double chamber lock that would be built at each end. As the numerous projected and it is affirmed impracticable locks in M. De Lesseps' canal would be done away with M. Santereau has practically achieved the
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