On Sunday morning, at daybreak, Mix's cavalry and Wessell's brigade began to advance, feeling their way cautiously up the road about two miles, when the enemy's pickets were met and driven back through a piece of woods about three-quarters of a mile, when they retired upon the main body of the enemy, six thousand strong, under command of Brigadier-General Evans, of Ball's Bluff notoriety. His forces consisted of three regiments of South Carolina infantry, the balance, of artillery, cavalry and infantry, was made up of North Carolina troops. Here our advance halted and the artillery was ordered to the front, and at 10.30 the artillery opened on the enemy. The rebels were found to be drawn up in line of battle, on a ground partially wooded and covered with a dense underbrush, with their artillery in the center and on either flank. They formed their line nearly in the shape of a triangle, with the base towards our forces. Our line was formed with the Ninth New Jersey on the right, Wessell's brigade in the center and left; Behind, in a second line, was the Twenty-third Massachusetts Regiment, on the right the Forty-fourth and Forty-fifth and other regiments of Amory's brigade, Stevenson's and Lee's brigades being held in reserve. Our artillery was placed in position on the right, centre and left of the line. The battle was begun by the artillery at 10.30, and continued uninterruptedly until about 1.30 o'clock, when the enemy commenced to retreat. But a short time elapsed after the artillery duel had begun before the infantry got to work in earnest, and the musketry became very rapid and hot. The fight was quite lively until 1 o'clock, but not at very close quarters, when the rebels began to fall back, and the Ninth New Jersey were thrown out as skirmishers, and Wessell's brigade pushed forward in pursuit. Our batteries were then thrown around to the right of the road, and fired upon the retreating rebels, but with little effect. The enemy fell back hastily nearly a mile, and crossed the bridge leading into Kinston, the Ninth New Jersey following closely in pursuit. As the last rebel regiment crossed the bridge the rebels applied the match to it, and as it had been prepared for the purpose, the fire gained some headway; but the Ninth New Jersey came up in time to extinguish the fire soon before it had done much damage.

After crossing the bridge one rebel brigade retreated in the direction of Goldsboro and the other in the direction of Snow Hill, on the road to Weldon. General Evans, with his South Carolina troops, retreated towards Goldsboro, our artillery throwing shells on the retreating columns.

Our division immediately crossed the bridge and occupied Kinston, the rebels on their retreat burning a quantity of cotton, a locomotive and some cars. Our troops held the town until yesterday morning, when they left the town and moved forward in a northerly direction, after burning the bridge over the Neuse River. We captured on the battle field four hundred prisoners, eleven pieces of artillery on this side of the bridge and three on the other, making fourteen guns in all, taken from them. A large number of small arms, perhaps eight hundred, were taken. Our loss was one hundred and sixty, killed and wounded. That of the enemy about one hundred and twenty-five, as they were more protected. The only officers killed on our side were Colonel Gray, of the Ninety-sixth New York Volunteers; Captain Wells and Lieutenant Perkins, of the Tenth Connecticut; we captured a lieutenant-colonel of a South Carolina regiment, and several other officers. The Twenty-third Massachusetts, Major Chambers commanding, captured seventy officers and men of the Twenty-third South Carolina Regiment. The mudsills are a little ahead of the chivalry this time.

Our forces are now on the march, and I halt behind to send off this report. You will hear from me again by the first conveyance. Our troops are in excellent spirits and eager to push forward and reap the fruits of our victory. You may rest assured that General Foster will follow up his advantage to a successful issue. I forgot to mention that Company K, Mix's Third New York Cavalry, charged and captured 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.