Historical
This section of the New World was first visited in 1501 by Columbus, who touched at Nombre de Dios and Porto Bello east of Colon, perhaps sailing into Limon Bay; this he certainly did in 1502, naming the place Puerto Naos, Navy Bay, as it was called until recent years. It is just 400 years ago, September 25, 1513, that Vasco Nuñez de Balboa first saw the great Pacific, then named the South Sea,—not, as often said, from the hill near Gorgona, called Balboa, more properly the Cerro Gigante, but from another 120 miles east, as he was crossing the San Blas country. Thence he continued to the Bay San Miguel of Darien. This bold explorer, like many another, fared badly. He was beheaded a few years later at the age of forty-four. In 1519 the site of an Indian fishing village near the farther shore was selected by Governor Pedrarias as that of his future capital, and in 1521, it was made a city by royal decree. This was Old Panama which soon became a place of great wealth and luxury, as for a century or more the rich treasures of Peru passed by this route to Old Spain. Yet it suffered many vicissitudes from fires, buccaneers, and insurrections till at length, when its prosperity had already begun to wane on account of the ships going by the Strait of Magellan, it was captured, plundered, and destroyed, by the freebooter, Henry Morgan, January 19, 1671, never to be rebuilt. January 21, 1673, the new city of Panama, about four miles distant, was dedicated. Until 1821 the Isthmus was under the dominion of Spain, and after that, in spite of numerous insurrections, remained a part of the country of New Granada, later Colombia, until its sudden practical transfer to the United States. On November 3, 1903, its independence was proclaimed, on the sixth the infant Republic was recognized by the United States, and on February 26, 1904, a treaty with the United States was signed by which it became a Protectorate, with a position similar to that of Cuba.
As early as 1527 an explorer from Panama city went from the Pacific up the Rio Grande Valley, crossed the divide by Culebra and sailed down the Chagres River to the Atlantic Ocean. Soon this was a popular route,—to sail up the Chagres to a point fifteen miles from Panama and continue by land to that city. As early as 1534 the idea of a canal occurred to that great monarch, Charles V, who had a route surveyed. Pronounced too expensive even for his great wealth, the project was abandoned, but 381 years later, a far greater canal than he dreamed of will be opened in the very same track which his surveyors followed.