The Path Between the Seas

by David McCullough

The agreement was this: The United States of Colombia granted the Société Civile—the Türr Syndicate—the exclusive privilege, good for ninety-nine years, to construct a canal across the Isthmus of Panama. As a guarantee of their good faith, the grantees were obligated to deposit 750,000 francs in a London bank no later than 1882. It was required that surveys be made by an international commission of competent engineers, for which three years were allowed, and the grantees were permitted two additional years in which to organize a canal company, and then twelve years to build the canal. Colombia in turn was to get 5 percent of the gross revenue from the canal for twenty-five years, 6 percent for the next twenty-five years, 7 percent for the next twenty-five years, and 8 percent for the final years of the concession. The minimum payment, however, was never to be less than $250,000, which was the same as Colombia’s share in the earnings of the Panama Railroad. Colombia conceded to the company, without charge, 500,000 hectares (1,235,500 acres) of public lands, in addition to a belt of land 200 meters (219 yards) wide on each side of the canal. The terminal ports and the canal itself were declared neutral for all time. At the end of ninety-nine years the canal would revert to Colombia. Further conditions were stipulated, but the crucial ones were these: The concession could be transferred (i.e., sold) to other individuals or financial syndicates, but under no circumstances coul...

The Wyse Concession