Commanding "Esmeralda" at the time was Juan Williams Rebolledo, who planned the recovery of the Chilean steamer and the capture of the Spanish schooner "Covadonga". The naval battle of Papudo occurred on December 26 and rapidly went the way of the Chilean force which was superior in firepower and was able to capture the defeated ship. The capture of "Covadonga" resulted in the promotion by one grade of all sailors participating in the battle, converting Prat into an ensign (equivalent to a second lieutenant in the army).