The city is known by two names, one in English (Rocky Point) and one in Spanish (Puerto Pe�asco or �Rocky Port�). In 1826, retired Lt. Robert William Hale Hardy of the British Royal Fleet was sailing in this area searching for pearls and precious metals. He named the area Rocky Point and it was identified as Rocky Point on marine maps until L�zaro C�rdenas changed it to Puerto Punta Pe�asco (Port Rocky Point). To simplify pronunciation, the English name lost the word �Port� and the Spanish name dropped �Punta.�
Prior to the 1920s, the area was just one of the safe harbors for wandering fisherman who worked the upper Gulf of California. During fishing seasons, fishermen from Guaymas, Bah�a Kino, Puerto Libertad and Puerto Lobos began to come here to camp out. The main attraction for these fishermen was a fish called totoaba, which was fished not for its meat but its use in medicine. At this time the area was known as Punta de Piedra o Punta Pe�asco. The name comes from a large quantity of solidified lava that hit the Gulf. Even as early as the 19th century, fishermen from Arizona came here. Since there was no source of drinking water, it was not settled permanently. The first residents are considered to be Victor Estrella, Benjamin Bustamante, Melquiades Palacio, Luis Mercado, Juan Mercado and Tecla Bustamante, the last considered to be the first permanent resident.
In the 1920s, John Stone from Ajo, Arizona came here to build a hotel/casino to take advantage of people coming over the border to escape Prohibition. He drilled a water well, and set up flight service from Phoenix and Tucson to bring in tourists to drink, gamble and fish. It is said that Al Capone frequented the place. The business did well until Stone and the locals began to quarrel. Stone burned down the hotel and blew up the water well before he left.
In the 1930s, under President L�zaro C�rdenas, a railroad was built to connect the Baja California to the rest of Mexico, passing
