During the conquest of Chile the Spanish founded the city of Villarrica in 1552 in the area of what is now Pucón.[5] The Spanish carried out significant mining of gold in placer deposits around this city.[5] However at some point in the 16th century it is presumed the gold placers were buried by lahars flowing down from nearby Villarrica Volcano.[5] This prompted settlers to relocate the city further west at its modern location, abandoning this the site of Pucón.[5]