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TnE fERas az PEAeE.-'ihc following
extract lfom lhe Washington corfespln
denet Of the Baltimore sun indicates. the
Terms On which lhe administration have
proposed, and will insist upon in the settle
ncnt Of peace.


can assure you that the administration
Is disposed 10 treat Mexico kindly, AID re-.
main satisfied with reasonable cession ol
territory for the expenses of the war. and
the indemnity due our citizens. |, will not
claim the possession oi territory On the
other silo Of the Rio Gfanle. anil be, in all
probability satisfied with the pint nafiga
lion oi that river New Mexico Il aiIl not
surrender, because that province is claimed
by Texas, as well as flnaulipAs, and a
portion Il not ali Of Chihuahua.


The fact IS, have no hesitation in say.
ins, that the administration is wiling To
assume the responsibility of treaty Of
peace, taking the Rio Bravo del Norlc for
lhe frontier up TO FL Paso, aud then
straight line 10 the Pacific ocean. This il
was resolredupon six months ago 10 ac
codc 10 as the proper limits Of Mexico, aud
this, am inclined 10 believe, the admins
ration will now obtain.


What the administration pays particular
attention 10, is the lshmus Of lcbuanicpec,
formed by the river lluusacualco, on the
Gull side, and Chiapa, on the Pacific
These 'wo rivers are nayigable I'LL within
80 mi. of one another, aud form The well
known Mexican l,ihmus.