Spanish and Portuguese representatives met in 1494 to draw a nice little line west of Greenwich, giving Africa and Asia to Portugal and all of the New World to Spain. Significantly, however, the treaty placed the coast of Brazil on the Portuguese side of the line, giving Portugal access to the new continent.
Between 1496 and 1526, Spanish exploration from Panama intensified. Rumors surfaced of a golden kingdom south of Panama, prompting Francisco Pizarro to convince Spanish authorities to finance an expedition of 200 men.