After college graduation in 1975, my visits to El Pao were rather irregular yet not infrequent, with visits in 1978 and several times in the ensuing decades when I was able to swing by during business trips. My last visit was in 2005, which, although memorable, had its harrowing moments whose details will have to await retelling.
During my 1978 trip, for which I will be forever grateful, an old family friend and her older children engaged me in lively conversation over coffee and pastries in her home when, pausing and looking at me, which caused me to remain silent, she said, “Nosotros jamás pensamos que el campamento se pondría peor [We never thought the camp would get worse]”.
That was the elephant in the room: surely I had noticed the unkempt open spaces, which as late as 1975 looked like golf course greens but now were overgrown; or the swimming pool which looked like it needed cleaning and maintenance; or the bowling lanes which had clearly seen better days; or the houses, including my family’s, in which we had lived until a few short years prior but which now were almost jungle invaded and “occupied” by surly squatters.
I had noticed, of course; however, I also knew that there was no need to needlessly offend. Prior to and during the “nacionalización” María had been a loud voice extolling the virtues of “public” ownership versus the evils of “Gringo” ownership.
But now she was sincerely looking for a response from someone whom she knew had not been a fan of the jingoistic justifications for theft. Of course, those appeals had been disguised by distortions asserting that the Bethlehem Steel and all such steel and petroleum companies had “stolen” the minerals of Venezuela, had exploited the people of Venezuela, had imposed inhumane conditions on the working class of Venezuela, ad nauseam.
Carefully, for she sincerely wanted to hear my opinion, I replied, “Bueno, María [not her name], a way to help us understand what we are seeing is to ask a simple question: if something belongs to ‘everyone’, then who, really, is the owner? In other words, who will take the risk to care for the object that is ‘owned’ by all?”
She just nodded, signifying that she understood.
Our conversation rushed back to my mind when, in the late 80s, I visited the even more deteriorated camp. On that visit, I took a photo of the last classroom I attended before leaving for the States (photo below). The ranch style schoolhouse still stood and gave promise of a still bright future if only someone actually owned it. But no one did. María, and many more, had abandoned the camp by then and more recent photos show the pool to be an empty, cracking husk.
A few years after Venezuelan nationalization, Communist Zimbabwe (Rhodesia ceased to exist in 1979) had the presence of mind to keep their elephant preserves in private hands and thereby saved them from ruination for decades. Interestingly, they did not allow their ideological blinders to blind them to the benefit of having their treasured preserves cared for by the actual owners. And they were rewarded with excellent results. Unfortunately, Venezuela opted for the conventional Socialist route with the typical depressing results now well known throughout the world.
María is long gone now but our discussion remains vivid in my mind.
I had forgotten about that photo until a few days ago when my brother-in-law pulled some envelopes stashed in some corner and old papers and photos, including that of the abandoned classroom, tumbled to the tile below.
And I was reminded that the Bethlehem Steel had built river port facilities about 180 miles from the mouth of the Orinoco River plus about 35 miles of railroad tracks and road inland from there to the site of the ore deposits. Three self-sustaining camps were built: one, Palúa, on the river, the other, El Pao, at the mining site, and a third, Puerto de Hierro, on the Atlantic coast to provide a deep water port for shipment up north. By March, 1951, close to 3,000,000 tons of ore were being mined annually, with most shipped to Sparrows Point, Maryland for processing, with a considerable amount of tonnage stockpiled in Palúa.
In summary, the Bethlehem Steel operations in Venezuela were somewhat complex from a transportation standpoint. Ore was mined and transported from El Pao by rail to Palúa on the Orinoco; then 180 miles down the mighty river by four or five 6,000-ton river steamers, built by a company subsidiary, to Puerto de Hierro on the Atlantic Ocean, from where the ore was transferred to much larger company ships for the 2,000-mile journey to Maryland.
By 1964 US Steel had dredged a 32-foot deep canal down the Orinoco for which other companies, including Bethlehem Steel, paid usage tolls. This allowed deep water shipments directly from Palúa, so Bethlehem shut down the Puerto de Hierro operations and ceded the ports and the camp to the Venezuelan government. All families were transferred to the other two camps.
As the reader can imagine, the capital investment implied in the above cursory descriptions is gargantuan. And that is only one company. In the first half of the 20th Century Venezuela received such investments from many such enterprises in the oil and ore industries.
At the close of 1974, the Venezuelan government nationalized all foreign owned ore properties, agreeing to pay book value, not market value.
And a mere four years later, my friend, María, asked why the camp had deteriorated….
My old classroom. Photo taken circa 1987
Photos of recently-built El Pao mining camp, circa 1953