DUNFANAGHY, a sea-port and post-town, in the parish of CLONDEHORKY, barony of KILMACRENAN, county of DONEGAL, and province of ULSTER, 32 miles (N. W.) from Lifford, and 137¼ (N. N. W.) from Dublin; containing 464 inhabitants. It is situated on the bay of Sheephaven, and consists of one street, containing 85 houses; the inlet from Sheephaven forms a commodious bay, which takes its name from this place, and affords good anchorage to vessels of the largest burden, which find better shelter here than in Sheephaven, from the latter being too much exposed to the north and north-east winds. This place is the head of a coastguard district, comprising also the stations of Rutland, Guidore, Innisboffin, Sheephaven, Mulroy, Rathmullen, and Knockadoon; and including a force of 7 officers and 53 men, under a resident inspecting commander. Fairs are held on the Thursday after Whit-Sunday, Aug. 5th, Oct. 2nd, and Nov. 17th. A constabulary police force is stationed in the town, and petty sessions are held every Friday. Nearly adjoining it, on the west, is a very extensive rabbit warren; and the neighbourhood is rich in mineral productions. The surrounding district, called Cloghanealy, consists chiefly of mountainous elevations covered with very indifferent herbage; and among its geological features are hills of sand and rocks of granite and crystal, rising to a great height. A commodious school-hou.se has been built in the town, and there is also a dispensary.