aptured three pieces of
artillery, with caissons, horses and all, in the most gallant manner.

SCENE OF THE DEATH OF COLONEL
GRAY.

NEW BERNE, N. C., Dec. 16, 1862.

Colonel Boler of the Forty-sixth Massachusetts, has returned from
General Foster's expedition, and reports the successful capture of the
town of Kinston by the Union troops, and their advance towards
Goldsboro, the junction of the Atlantic and North Carolina and the
Wilmington and Weldon railroads.

There was some fighting for three days--Friday, Saturday, and Sunday,
last--the enemy disputing our advance with pertinacity wherever the
ground favored them. They are reported to have had a force of 15,000
under command of General Evans, of Ball's Bluff fame. Their loss is
heavy in killed, wounded and prisoners, five hundred of the latter
having fallen into our hands. Our loss is one hundred and fifty to two
hundred and fifty in killed, wounded and missing.

The principal fight was a few miles beyond Kinston, where the enemy had
intrenched themselves. The Third New York Cavalry, Colonel Mix's, had a
hand to hand conflict with the Second North Carolina Cavalry. The New
Yorkers routed the North Carolinians after a hard fight. All the Union
troops are reported to have behaved well, exhibiting in many instances
great courage and fearlessness.

Our wounded were placed in unoccupied houses in Kinston and the dead
buried.

The advance continues toward Goldsboro; but before reaching that point
we shall have to encounter further and still stronger opposition. With
the large and well disciplined forces of Generals Foster and Wessell,
every obstruction will be overcome, and the object sought attained.

Twelve miles beyond Kinston, at a place called Mosely Hall, the enemy
have a battery of ten heavy guns, so planted as to deal a very
destructive fire upon an advancing foe.

In the attack upon Lieutenant-Colonel Manchester's transports in the
Neuse River the rebels suffered severely as reported by a deserter this
morning. The shells from the Allison fell directly in the midst of the
battery, killing and wounding several, and, for a time, dispersing the
working force of the battery, together with an infantry reserve of some
two hundred men, with two regiments at hand.

The Ocean Wave was fired upon from an open field by a force of one
hundred and ten North Carolina