Lugia

This is an introduction to the three legendary birds Moltres, Zapdos, and Articuno, around which the plot revolves, introducing the theme of a delicate balance between the forces of nature (a common theme throughout the Pokémon series), embodied by the very Pokémon who represent them. Should the balance of power between these three birds be destroyed, chaos would ensue, prompting the "Great Guardian" Lugia to rise from the depths of the sea to attempt to end the senseless destruction, yet only with the help of a "Chosen One" destined to save the world.

A Pokémon Collector, Lawrence III (not named in the film, but given this name in promotional materials), wishes to capture the three legendary birds and follow the legend's tale. This is all part of his plan to capture the Beast of the Sea, Lugia. Using a futuristic aircraft, he captures Moltres from Fire Island. As predicted, the world's climate and weather begin to go awry, alerting the attention of many Pokémon and humans, including Professor Oak. Along with Professor Ivy - who leaves Brock in charge of her Pokémon - and Delia Ketchum, he travels out to the Orange Islands in a helicopter.



Out in the Orange Islands, Ash Ketchum, Misty, and Tracey are on a boat piloted by Maren. Being a very sunny day, they decide to let all their Pokémon out for some much needed fun.



Soon, from Lapras to Psyduck, Ash Ketchum, Misty and Tracey Sketchit are having fun. What they do not know is that Team Rocket is following them. However, a storm begins to form, striking both ships and Maren's boat is washed ashore onto Shamuti Island, the centerpiece of the Orange Islands while Team Rocket's crashes into a rock.



The weather is bad back in Pallet Town, too, and many Pidgey and a bunch of Diglett run towards the Orange Islands, along with Professor Oak and Delia Ketchum. Back on Shamuti Island, Ash, Misty and Tracey are welcomed by the festive islanders who are celebrating the legend. One woman, Carol, is old friends with Maren and was the former Festival Maiden. The role has now been passed down to her younger sister, Melody, who takes a liking to Ash.



When Maren reveals that Ash is a Pokémon Trainer, the islanders declare him to be the Chosen One for the festival (allegedly, this happens annually to the first Pokémon Trainer to arrive) and is given the yearely task of traveling to the islands of the birds and collecting three glass balls that represent the elements, before bringing them back to the island's shrine where Melody will play a song on a special instrument, which appears to be an ocarina, to end the task. Pikachu, who is rather edgy, heads out to Fire Island, Ash and Maren following.



They get caught in the seastorm again and crash on Fire Island. Ash and Pikachu locate the fire-based sphere; almost immediately, Team Rocket shows up to cause trouble. Misty, Tracey and Melody appear unexpectedly in Melody's aerodynamic boat, Melody feeling responsible for sending Ash off. However, Zapdos suddenly appears and after communicating with Pikachu through lightning claiming the island as its own, it is captured by Lawrence III. Ash, his friends and Team Rocket are all accidentally captured too. Inside, they free Moltres and Zapdos but the two birds end up fighting each other and cause the aircraft to crash-land on Lightning Island. Ash grabs the lightning-based sphere during the escape from the birds. The group escape in Melody's boat, and it is carried to Shamuti by a column of water, which is revealed to be Lugia. Slowking, guardian of the Shamuti shrine, instructs Ash to place the spheres into the shrine. The storm gets worse and Professor Oak's helicopter crashes.



Ash is then instructed by Lugia to go to Ice Island to retrieve Articuno's sphere, and is surprisingly revealed to be the actual Chosen One as foretold in the legend, reluctantly accepting his destiny as he attempts the final task. Bulbasaur, Squirtle and Charizard try to help Ash get across the frozen ocean, but the legendary birds thwart their efforts. However, Team Rocket come to their aid on a speedboat made from a dinghy and a motor salvaged from Professor Oak's crashed helicopter. Ash, Pikachu and Team Rocket race through Ice Island's undergrowth to the shrine where they collect the last sphere. The legendary birds fight again, and Articuno is knocked unconscious, causing the entire ocean to freeze.



Ash, Pikachu and Team Rocket escape on Lugia but the extra weight is slowing Lugia down, so Team Rocket nobly sacrifice themselves (by jumping off his back) to "save the world" and fall into a small gap in the frozen ocean. Lawrence III then reappears and attempts to capture Lugia, but the legendary Dragon uses its signature move, Aeroblast, which obliterates his aircraft, as well as knocking out Moltres and Zapdos in the process. But this weakens Lugia, who ends up tumbling into the ocean, defeated, causing a huge tidal wave that drowns the coastline of Shamuti Island. Misty swims out into the ocean to save Ash and Pikachu, bringing them back to shore.



Ash, Pikachu, Misty and Tracey head up to the shrine where Ash places the last sphere. Melody plays the song, reviving Lugia from the depths as well as the legendary birds. The weather clears up and Lugia offers Ash and Pikachu a ride in the sky. A giant underwater current rises from the ocean like a Sea Dragon and follows Lugia around, tamed by the Dragon. The current goes back into the sea and the legendary birds depart to their islands, after which Professors Oak and Ivy, along with Delia Ketchum, arrive and congratulate Ash and his friends.



Lawrence III makes one last appearance, picking up his original Mew card, and walking away with a smile on his face.



Some time later, Team Rocket, having survived the fall into the ocean, make it back to Shamuti, whereupon Slowking says that they are not unsung heroes; he reveals that the audience knows they helped to save the world.