Following Fortuneteller Baba's advice, Goku and Chi-Chi go to the Kame House searching for Master Roshi, but they only find his Turtle, who tells them that Master Roshi hasn't got back from the World Martial Arts Tournament yet. Goku then asks Turtle if he knows where the Bansho Fan is, but Turtle says that Master Roshi threw it away a long time ago.
Turtle then shows Goku and Chi-Chi an old book of Master Roshi that explains how to make a new Bansho Fan. According to the book, to make a fan they will need the feathers of a magical bird known as the Fire-Eater who can only be found on Mount Kiwi, a volcanic island in the South. After hearing this, Goku and Chi-Chi say goodbye to Turtle and set out for Mount Kiwi, both enjoying the ride there.
Once they arrive at Mount Kiwi, Goku and Chi-Chi go inside the dark caves of the dormant volcano and they find a big lizard who attacks them, but Goku just calms him down by petting him. Meanwhile, Emperor Pilaf, Shu and Mai are also inside the volcano looking for the Fire-Eater. While walking across a narrow ledge, Chi-Chi falls off and discovers a huge egg. Goku (who is joyed and relieved that Chi-Chi is safe) jumps down to check it out and an old scientist suddenly appears and tells them to get away from the egg.
The scientist tells them that this egg is the last trace of the Fire-Eater's race and that it hasn't hatched in 40 years. Then, all of a sudden, Pilaf, Shu and Mai arrive at the place in a drill vehicle and tell Goku that they want to take the Fire-Eater's egg to sell it for a very high price. They trick Chi-Chi and hold her captive for a while, but she easily takes care of Shu and Mai while Goku destroys their drill vehicle, causing Pilaf, Shu and Mai to run away.
Due to the destruction of Pilaf's vehicle, the mountain starts to shake and the volcano erupts. Suddenly, an adult Fire-Eater crashes through a wall and eats some flames of the volcano just before breaking the shell of the big egg. A baby Fire-Eater then appears from inside the egg and they both fly away from the collapsing mountain. Goku fires a Kamehameha to make a hole in the mountain so that he, Chi-Chi and the old scientist can escape.
When Goku and Chi-Chi try to gather the feathers they need to produce the Bansho Fan, they are told by the old scientist that it is impossible to gather them outside of the intense heat of the volcano. In a cut scene, Master Roshi reveals that everything in the old book was made up to impress girls. However, the scientist tells them that the Fan can be found in an iceberg to the north. Thus informed, the young couple set out again for another adventure.