Mining II

To add to the prior post, I thought it good to tell a bit more about El Pao’s background and impetus as something of a microcosm of the myriad mining and petroleum camps dotting Venezuela in the 1950’s.

As noted in the Time Magazine article cited in the previous post, El Pao was a Bethlehem Steel iron ore mining camp built in the 1940’s in the Venezuelan southeastern interior, within a low and gentle mountain range in an area of dense, seemingly infinite jungles, just beyond the Gran Sabana prairies and plains whose boundaries seemed to melt with the sky.

The company, along with US Steel had negotiated concessions with the government of Marcos Pérez Jimenez, the shortest-lived of the numberless military dictatorships in Venezuela’s history. Actually, these concessions were signed prior to Jimenez’s official assumption of the presidency, but “everybody knew” he was actually in charge a few years before his official ascension in 1952. Perez Jimenez sought to enhance Venezuela’s independence by promoting oil and ore concessions and improving and expanding the transit infrastructure. He insisted, wherever possible, the companies build “open cities” as opposed to closed camps. US Steel did just that, which impelled the phenomenal growth of the thriving metropolis of Puerto Ordaz, at the confluence of the Orinoco and Caroní rivers. As for Caracas, it was modernized with skyscrapers, including the symbolic Humboldt Hotel, overlooking the capital city from atop Mt. Ávila. The hotel was named after the famous naturalist and explorer, Alexander Von Humboldt, who explored and studied much of Venezuela in the late 18th century. We’ll be seeing more of him in later posts. Construction projects were launched to build large public housing projects, bridges, and South America’s finest highway system, most of which would still be in use into the 21^stcentury, including the then spectacular La Guira – Caracas expressway in 1953 and the Tejerías – Caracas expressway in 1954.

Furthermore, his tenure saw the creation, in 1956, of cable car transport to the 6,000 ft., Mt. Avila, which stands like an imposing sentinel over Caracas. He also commissioned the building of the even more remarkable cable car system to the 20,000 ft. Pico Bolivar in the Andes in the western state of Mérida. Both systems were built by Swiss engineers and materiel. Venezuela was transformed into the most modern nation of South America: “modern” defined as excellent infrastructure, breathtaking skylines, and a rapidly growing middle class. Today, some old timers say it was the Dubai of the 1950’s.

A telling but quickly forgotten change imposed by Perez Jimenez was the revision of the official name of the nation. Since 1864 the country’s name was “United States of Venezuela”, reflecting Simón Bolivar’s admiration for the United States, but not his conviction that South America should not seek to emulate a similar type government because, as he put it, “the United States form of government will only work for saints, which is what they are [and what we are not]”; Marcos Pérez Jimenez, apparently understanding Bolivar’s admonition, changed the name to “Republic of Venezuela”, a name which stuck until, in the 21^stcentury, another authoritarian politician changed the name yet again, but left Venezuela’s 20 states intact. El Pao was in the large state of Bolivar, to the southeast of the country, bordering on Brazil to the south and British Guiana to the east.

Marcos Perez Jimenez ruled from December, 1952 to 1958, but his following persisted even after his death five decades later, in 2001.

A plebiscite was held in December, 1957 which Jimenez won by a wide margin, but which opponents insisted was a rigged exercise. He went into self-imposed exile in Miami Beach, in 1959, only to be deported later by the Kennedy administration, which vainly believed it could afford to break the United States’ promise of asylum in exchange for the applause of Venezuelan politicians: honor out; applause, in. But, as often happens with asymmetrical swaps, Kennedy succeeded with the former, weightier matter; and failed with the latter, transitory one.

Unbelievably, Jimenez was, in 1968, elected to the Senate, even though he ran in absentia from Spain; however, the Venezuelan politicians succeeded in overturning his election on technicalities. In 1973 his supporters nominated him for the presidency of Venezuela; however, the political parties amended the constitution, in effect prohibiting him from running for president again.

He never returned to Venezuela. Nevertheless, love him or hate him, his administration’s negotiations with the American steel and petroleum industries brought matchless prosperity to the country. This promise of future increase and liberality was reversed by the overturning of his economic policies, which tended to favor free enterprise locally coupled with pragmatic agreements with foreign companies, within a low tax and regulatory environment.

Amazingly, all major projects undertaken by the Perez Jimenez administration still stand, unsurpassed: either still in use, such as in the case of the magnificent, now barely maintained, and, therefore, in some places dangerous expressways, or as silent, empty monuments of a long past era, such as the Humboldt Hotel, alone and padlocked, alternating between stints as a reflector of countless brilliant sparkles of sunlight or as a lone sentry shrouded in clouds atop Mt. Ávila, reminding all who look and wonder, that historical eras ought not be facilely catalogued as bright or dark, evil or good. Much depends on who tells the story, how it’s told, of whom it is told, and, of course, by whom it is told.

But the foregoing was yet in the future. Most, if not all, Americans who came to Venezuela when Pérez Jimenez was either in power or was the power behind the throne, that is, from the late 1940’s through the 1950’s, were quite apolitical and gave little thought to the country’s civil government. Streets were safe, people were courteous, Americans were respected and admired, and work was abundant for both Americans and Venezuelans. What mattered to them, and to their companies, was that Venezuela became their largest supplier of iron ore, by far – ore ultimately incorporated in America’s magnificent bridges, skyscrapers, monuments, homes, and automobiles.

For those of you interested in Marcos Pérez Jimenez, you might want to check out the series of interviews (in Spanish) he granted not too long before his death. The link below is for the sixth of the series.