The city was founded on November 20, 1901, by Navy Lieutenant Exequiel Guttero, captain of the Guardia Nacional, a ship that was transporting cables, equipment, and workers for the construction of a telegraph line south of Comodoro Rivadavia. The settlement was given the name of his wife Olivia (caleta means "small bay", "inlet").
The main economic activities around the city are petroleum, sheep and fishing. Its port serves both as a fishing centre, and as an export point for locally produced goods.
Among the monuments of the city, probably the most characteristic is that of "El Gorosito," built to honour a petroleum industry worker.
Despite the southern latitude, the city has moderate temperatures due to the regulation of the ocean, with beaches visited during sunny days in summer, where different water and sand sports are practiced.
