Allow me to explain how this 7 territory rule works...
You have 7 points to claim things(this is until next turn, where it drops to 6); most provinces cost only 1, but some are more expensive. Areas less than five pixels only cost half a point. More details can be found in the opening post's rules section.
Since this is your first turn, however, I'll make it so distance penalty doesn't apply to you, as you're building a core with mostly-small provinces.