While the U.S. and French ministers were trying to get Brazil to accept the loan, British Minister Edmond sent telegrams to the London government on several occasions to report on the changes in the situation in Brazil and ask the London government to give greater autonomy to the embassy in Brazil.

Edmund's request for another call was not granted, as was the case the first time, and the London government, two days after discussions, sent a telegram to the embassy in Brazil, stating that Britain must maintain Brazil's position as the largest trading country, and that the embassy should negotiate with the Brazilian government to set up a British-led "Commission for the Management of Brazil's Debts, which will be responsible for the exclusive handling of Brazil's foreign debt and loan transactions." ”……

Although the London government agreed to coordinate with the Brazilian government on the issue of defects in warships, Edmund was still very disappointed that the monopoly of Brazil's foreign debt market and lending business was the bottom line of the deal set by the London government for the embassy in Brazil.

Before the Paraguayan War, Britain played the role of Brazil's exclusive debt broker, and most of the army and navy equipment of the Brazilian army was provided by the British, and most of the industrial facilities established in Brazil were purchased from the British.

And now, joining two strong contenders, the London government is still trading with Brazil without really understanding the situation in Brazil, and sooner or later it will suffer a big loss.

Edmund's long-standing resentment with the bureaucrats that filled the diplomatic service led to him to enter the palace at noon on August 22 to meet with Pedro II.

In terms of the general principles of the bargain between the two parties, although Edmund deliberately downplayed what the London government emphasized, Pedro II, after personally verifying the veracity of what Werther had said, politely rejected the deal with the British.

In the afternoon, Bernard and Witte, who had re-entered the Royal Palace in Rio de Janeiro, had an open and frank negotiation with Pedro II.

At the request of Pedro and Pedro the French Minister Bernard agreed to reduce the price of the warship from £400,000 to £370,000, and the American Minister Witte took the opportunity to sell the surplus warships at half price on the grounds that the ironclad HMS Roanoke, which had served in the Civil War

Sold for a low price of £180,000 to the Brazilian Navy.

The ironclad USS Roanoke has a displacement of 6,300 tons,

With a speed of 8.5 knots and a standard configuration of 340 naval soldiers, it is a relatively complete warship.

The Roanoke has only six years of service life, and has not yet reached the time for decommissioning, and according to the normal warship transaction procedures, the Roanoke ironclad ship sells for about 300,000 pounds, and the Americans would rather sell at a loss than to make a deal, and naturally there are other aspects of the benefit compensation.

The matter did not exceed the estimate of the American minister Werther, and Pedro II was very moved when he saw the offer made by the other party and the performance of the warship, but he considered that he had been deceived by the British once. He was much more cautious this time, and asked in advance, "Your Excellency, the Roanoke won't have all kinds of flaws like the monarch-class ironclad, right?" ”

"Your Majesty, rest assured, the Roanoke is superior in performance, and in the battle with the Southern Navy in 1865, the Roanoke successfully sank a Southern ironclad ship with its flexible maneuverability and powerful artillery weapons, and the warship itself suffered only minor injuries."

The Roanoke has been tested in actual combat, and has sunk enemy ships, in Pedro II's heart, the combat effectiveness of the warships that he is most concerned about has been basically guaranteed, therefore, his attitude is also much more cheerful, and he directly threw out the last condition, hoping that the United States side will allow the Brazilian Navy to send special personnel to the United States to test the performance of warships, and if Werther agrees to this condition, all the remaining commodity transactions can be negotiated slowly.

It's not too much to inspect the goods and pay later, and Werther thought about it for a while before agreeing.

There are some deficiencies in the initial stage of American products, but for the Roanoke that has been known in advance, Witt is still more confident, the Roanoke is made of all steel, and the upper part of the warship is equipped with two 15-inch Dahlgren smoothbore guns, two 11-inch Dahlgren smoothbore guns and two 150-pound Parrott rifled guns, and the entire warship not only has strong armor protection, but also has a strong artillery attack system.

The United States was later than Britain, France, and Austria in the development of ironclad ships, but in terms of modern warship manufacturing, the United States was the first country to try to manufacture all-steel warships, so the ironclad ships made in the United States are closest to the main battleships of the twentieth century.

For example, the biggest disadvantage of the USS Roanoke ironclad is that it has a short range and cannot carry out ocean-going voyages and deep-sea combat missions. Of course, in Witt's eyes, this shortcoming is not a big problem, the Brazilian Navy and the newly established Chinese Navy are both novices, and it is already good for the two sides to be able to carry out regular maritime operations in the coastal area, as for ocean-going operations, that is a problem that only old maritime powers such as Britain and France should consider.

Successfully selling his short-legged warship, Witte first reached a preliminary agreement with Pedro II on three major aspects: loans, mining rights, and railway construction rights.

In terms of loans, the United States provided Brazil with two tranches totaling $7 million, the first tranche of $2 million to be delivered within one month of the signing of the contract, and the second tranche of $5 million to be delivered over a one-year period.

The interest on the $7 million loan is calculated at a low interest rate of 3% per year, and the repayment period is extended to 10 years.

In terms of minerals, the Brazilian government authorized American businessmen to have the right to explore mineral resources in the states of Mato Grosso do Sul and Pará in the north, and sold a state-owned iron ore mine in Minas Gerais to American businessmen for £200,000, which was jointly funded by three US banks.

After the completion of the railway, the three countries will establish the São Paulo-Riberangpunas Railway Management Company, with Brazil holding 45 percent of the shares, France 25 percent, and the United States 20 percent.

French and American businessmen obtain a significant amount of commercial contracts in the course of transactions, but in Brazil, British companies still have a dominant control over Brazil's economic interests.

Brazil's iron ore resources are mainly distributed in Minas Gerais (70%), Mato Grosso do Sul (21.5%), Pará (7.3%) in the north and 1.2% in other states.

Among the three major iron ore producing areas, American and French businessmen only obtained the right to explore and mine iron ore in Pará and Mato Grosso do Sul, and the iron ore exploration and mining rights in Minas Gerais, which has the largest proportion of iron ore reserves, were mainly concentrated in the hands of British businessmen, and the French and Americans could only rely on the executive order of Pedro II to accept a few state-owned mines that had been mined for many years.