The Castilian ambassadors we have already named spoke to the King of Portugal, while he was in Braga, proposing an agreement between him and the King of Castile. Saying that he was pleased at this, the king chose on his side Friar Álvaro Gonçalves, who was the Prior of the Order of the Hospitallers, and Lourenço Eanes Fogaça, his Chancellor of the Great Seal, to agree with them upon amity and a settlement between him and the King of Castile. In their letters, the King of Portugal addressed the King of Castile as ‘Our Adversary of Castile’ and the King of Castile styled himself ‘King of Castile and León and Portugal and Toledo’ and of the other customary places, bearing the arms on the banners and on the seal all impaled, in the way he had adopted from the beginning of the war.

These ambassadors, and the representatives of Portugal we have mentioned, went to Monção in Riba do Minho and there they came to an agreement and drew up a good, firm and loyal truce, on sea as well as on land, between the said great lords and their allies, that is, the Kings of France and of Scotland on the part of the King of Castile, and the King of England, Portugal's ally, should they wish to participate in it. This was for a full six years, the three that previously the King of England and the King of France, on their own behalf and on that of their allies, had agreed on, and into which the King of Castile and the King of Portugal might enter, if they so wished; and for another three years beyond these, with many clauses and conditions that it is unnecessary to write down, except this: ‘That the King of Portugal should cede to the King of Castile Tuy, which he had taken, and Salvatierra de Miño. The King of Castile should restore to the King of Portugal Noudar, Olivença and Mértola, and, in Riba de Côa, Castelo Rodrigo, Castelo Mendo and Castelo Melhor. Also, that Miranda [do Douro] and Sabugal, also held by the King of Castile, should remain under the control of the Prior [of the Hospitallers], as guarantor of these deeds’, as well as other such conditions with which the truce was then signed on 29 November 1389.