On October 8th, 1879, the chilean ironclads,
Blanco Encalada and
Cochrane fought against the notable peruvian admiral, Miguel Grau and his quick monitor
Huascar. OTL Grau wasn't able to win the battle and lost his ship and his life, securing naval dominance of the chilean fleet. ITTL Grau manages to destroy Blanco Encalada with a torpedo and escapes north to Arica, buying some time for the peruvian and bolivian forces to regroup and plan their next strategy. Chile still have the naval advantage, however the remnants of the
Marina de Guerra del Peru, aided by the peruvian and bolivian armies, caused serious troubles to the chileans. The war goes on for another 2 years until 1881; Grau dies in the
Second Battle of Iquique and his sacrifice would encourage thousands of peruvians to join their army and fight for their nation. Meanwhile the United States sold weapons, ammunitions and even 1 ironclad and 2 monitors, using Mexico as intermediary, to Peru, this because the United States knew that the British Empire was supporting Chile during the war and they disliked the idea of british intervention in South America.
On June 7, 1881 the
Battle of Arica is fought. Chilean fleet tried to break the peruvian blockade in the port, meanwhile the chilean army attacked the peruvian and bolivian positions. After 3 hours of intense fight, peruvian ironclad
Almirante Grau fires a torpedo to chilean ironclad
Cochrane, sinking the ship and turning the tide to the ally side. On earth, peruvian and bolivian resistance was so fierce that the chilean forces started to retreat. Suddenly the peruvians started a cavalry charge, breaking the chilean line, after the cavalry, peruvian and bolivian troops charged forward, almost taking no prisoners. Chile lost the battle. At the end of the day, Chilean casualties were more than 20,000 also they lost 50% of their naval force. This marked the end of chilean advance and beginning of their fall. Weeks after, chilean president, Domingo Santa María was overthrown and a military junta took charge of the country.
The turn of tide in the war quickly interested Argentina and accepted the proposal of joining on the side of Peru and Bolivia, however they still had to do preparations and organize their army. This bought enough time for the chileans to build defensive positions in their southern frontier, but peruvian-bolivian advance in the north was unstoppable and now they were besieging the city of Copiapo, in chilean territory. On January 1882 Argentina was ready to launch a full invasion on central and southern Chile, however the chilean junta, knowing the argentinean intention of annexing chilean territory, sold their colony in Magallanes to the British Empire and also ceded their claims south of Chiloe to the british. Argentina, don't wanting a war with the empire, stopped their plans and focused on mainland Chile. Months after, Argentina and the British Empire came to an agreement and partitioned Patagonia between them.
Back in the north, ally forces marched south to La Serena, meanwhile Argentina was invading Concepción and Valdivia. The junta is overthrown by a new junta and they quickly called for a ceasefire. Finally peace was signed on August 15th, 1883. Peru got their provinces back and annexed Isla de Pascua. Bolivia expands a bit south of parallel 24°, getting 200 kilometers of extra coast and Argentina loses their claims for a Pacific port but gained a new ally, the British Empire. Chile entered a period of internal struggle that leaded to the civil war of 1888- Democracy would be reinstaured in 1895.
