Spain began its campaign by seizing the Chincha Islands, which were rich in guano, and demanding indemnity as recompense for the murder of two Spanish citizens in Lambayeque.
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Also, Peru had two locally built ironclads: The Confederate-style casemated ram ironclad Loa and the monitor Victoria, as well as infantry and cavalry.
Monument to the Battle of Callao, with a finial figure of Nike, historical and allegorical bronzes, and friezes of the battle, for Plaza Dos de Mayo, Lima, Peru, circa 1873
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The Battle of Callao would prove to be another disaster for the Spanish fleet as the defenses of Callao proved stronger and defeated them to the point of forcing the complete retreat of the Spanish fleet from South American coasts.