In 1565 Sydney came again as Deputy, and endeavoured to negotiate with Shane with a view to a permanent peace, but he found him more exacting in his demands, and haughtier in speech, than ever. ” For the Queen, I confess she is my sovereign lady, yet I never made peace with her but by her own asking,” he said. ” My ancestors were Kings of Ulster. Ulster was theirs and shall be mine. . . . With this sword I won (the lands), and with this sword I shall keep them.” Sydney at once renewed the war, and marched northward into Tir Owen. Very little except cattle spoils was gained. Finally, Sydney returned homeward, and, more candid than Sussex, did not even pretend to have achieved any notable success.

Still, Shane’s position was a perilous one. Many of his neighbours were jealous of him, and his policy had ever been rather to crush than to conciliate those who opposed him. He now invaded the O’Donnell territory, and Hugh, the newly-elected O’Donnell chief, defeated his army with great slaughter at Farsetmore near Letterkenny. Shane and a small band of soldiers with difficulty crossed the Swilly and escaped.