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The Lone Ranger, formerly a Texas Ranger, fights outlaws with the aid of Tonto, his faithful Indian companion. While riding through some Arizona hills, the two unsuccessfully pursue six hooded outlaws who have just killed an Indian. They take a baby that the Indian had hidden safely in the rocks to the mission of Padre Vicente Esteban, who remarks that the raiders have been killing and plundering for several months. A beautiful young Indian woman named Paviva is entranced by the child and decides to care for him. Concerned about the baby's health after his ordeal, Tonto tries to fetch Dr. James Rolfe from the saloon in nearby Sandario, but the bartender, who also happens to be Sandorio's sheriff, has some roughnecks badly beat the "redskin" for daring to enter a white establishment. Later, near a body of water known as the Lake of Fire, Tonto and the Lone Ranger learn from a young man named Redbird the significance of the five-day torch-lighting ceremony just begun by the Indians: Many years earlier, a huge ball of fire had destroyed the camp of the Spanish soldiers who were planning to attack the Indian village. The Lone Ranger remarks that the ball of fire was undoubtedly a meteorite, but Redbird declares that it was dropped "by someone above." At the well-appointed ranch of respected widow Frances Henderson, Ross Brady, one of the hooded raiders, gives her the medallion he took from the murdered Indian's neck. She pieces it together with a previously stolen medallion, but complains that she cannot yet make out the message inscribed on the original silver plaque, broken into five sections centuries ago. She and her deceased husband had discovered through years of research that the plaque revealed the location of Cibola, one of the fabled seven cities of gold that so intrigued the Spanish explorer Francisco Coronado. Convinced that Fran knows something about the murders, the Lone Ranger pays her a visit disguised as Southern bounty hunter Bret Reagan. Declaring that he is after the reward money she has offered for the capture of the criminals, "Bret" flirts with Fran until Brady roughly reminds her, "You're my woman!" At the mission, Paviva begs James to admit he is an Indian, but he argues that concealing his ancestry is the only way he can make enough money to build a hospital for the Indians. Paviva, who loves the doctor, cries, "You were born a red man, and you will die that way." When an old Indian is killed, the Lone Ranger and Tonto visit Chief Tomache, who sadly reveals that he had found the silver medallions years before in the canyon, and that the men to whom he had given the pieces were now being killed. One of the recipients would arrive soon for the ceremony, and another was his long-lost grandson. The Lone Ranger and Tonto save the arriving visitor, although the Indian's medallion is stolen. Redbird captures one of the outlaws, and just after the man whispers his employer's name, Brady, hidden behind a tree, shoots him. After learning about Brady's involvement, "Bret" again visits Fran, claiming that he is in possession of the fifth medallion. The next day, the Lone Ranger rides to the nearest town for help, and while he is away, Tonto watches as Paviva stands up to the sheriff's insults in the street. When he tries to help her, the sheriff shoots Tonto in the back. Furious, James proudly admits to everyone present that he is Tomache's grandson and shows them the medallion the chief gave him years before. As James heads toward Tomache's village with Paviva and the baby, Brady organizes his raiders, and Tonto struggles onto his horse to warn the unsuspecting doctor of the danger. Tonto leads James, Paviva and the baby to a safe spot in the village and tries to decoy the raiders away from them. After shooting one of the murderers, Tonto collapses, but the Lone Ranger arrives and drags him to safety. Brady finds the doctor, steals the medallion, and takes the baby as hostage. The Lone Ranger's horse, Silver, chases Brady, who sets the baby down and rides back to Fran's ranch. Ignoring Brady's wound, Fran eagerly assembles the now complete set of medallions. Brady angrily grabs them, but as he is leaving, Fran kills him with a hatchet. Just then, the Lone Ranger arrives and Fran is apprehended. At Tomache's village, James, Paviva and Redbird use the plaque to locate a tunnel hidden behind some rocks. This leads to a cave filled with gold, which, as James remarks to his beloved Paviva, will enable him to build the much-needed hospital. Padre Vicente and the Indians turn to thank Tonto and the Lone Ranger, but the two men have left the cave and mounted their horses. The Indians wave gratefully as the Lone Ranger calls, "Hi yo, Silver, away!"