Marc-
Hi! It's likely this song commemorates the fight between the C.S.S. Alabama and the U.S. Gunboat Hatteras, 9 guns, Lieut. Commr. Blake, 140 men, off the coast of Galveston on Sunday, January 11, 1863. The Hatteras was defeated, surrended, and sunk.
Happy searching!
Cheerily,
Charley Noble