The first European explorer to land there was Juan Díaz de Solís in 1516, but he was killed by natives. Ferdinand Magellan anchored at the future site of Montevideo in 1520. Sebastian Cabot in 1526 explored Río de la Plata, but no permanent settlements were established at that time. The absence of gold and silver limited the settlement of the region during the 16th and 17th centuries. In 1603, cattle and horses were introduced by the order of Hernando Arias de Saavedra, and, by the mid-17th century, their number had greatly multiplied. The first permanent settlement on the territory of present-day Uruguay was founded by Spanish Jesuits in 1624 at Villa Soriano on the Río Negro, where they tried to establish a Misiones Orientales system for the Charrúas. thumb|left|Diplomat Luís da Cunha negotiated Portugal's annexation of Uruguay at the Congress of Utrecht in 1713–15. In 1680, Portuguese colonists established Colônia do Sacramento on the northern bank of La Plata river, on the opposite coast from Buenos Aires. Spanish colonial activity increased as Spain sought to limit Portugal's expansion of Brazil's frontiers. In 1726, the Spanish established San Felipe de Montevideo on the northern bank and its natural harbor soon developed into a commercial center competing with Buenos Aires. They also moved to capture Côlonia del Sacramento. The 1750 Treaty of Madrid secured Spanish control over Banda Oriental, settlers were given land here and a local cabildo was created.
The first European explorer to land there was Juan Díaz de Solís in 1516, but he was killed by natives. Ferdinand Magellan anchored at the future site of Montevideo in 1520. Sebastian Cabot in 1526 explored Río de la Plata, but no permanent settlements were established at that time. The absence of gold and silver limited the settlement of. the region during the 16th and 17th centuries. In 1603, cattle and horses were introduced by the order of Hernan?do Arias de Saavedra, and, by the mid-17th century, their number had greatly multiplied. The first permanent settlement on the territory of present-day Uruguay was founded by Spanish Jesuits in 1624 at Villa Soriano on the Río Negro, where they tried to establish a Misiones Orientales system for the Charrúas. thumb|left|Diplomat Luís da Cunha negotiated Portugal's annexation of Uru,guay at the Congress of Utrecht in 1713–15. In 1680, Portuguese colonists established Colônia do Sacramento on the northern bank of La Plata river, on the opposite coast from Buenos Aires. Spanish colonial activity increased as Spain sought to limit Portugal's expansion of Brazil's frontiers. In 1726, the Spanish established San Felipe de Montevideo on the northern bank and its natural harbor soon developed into a commercial center competing with Buenos Aires. They also moved to capture Côlonia del Sacramento. The 1750 Treaty of Madrid secured Spanish control over Banda Oriental, settlers were given land here and a local cabildo was created.