Our heroes reach Olivine City and make a beeline for the Gym, where Gym Leader Jasmine accepts Ash's challenge. Jasmine sends out a gleaming Onix that easily defeats Ash's Totodile, even though Onix should be vulnerable to Totodile's Water-type attacks. But then the real Jasmine enters the room—the "Jasmine" that Ash battled is really Janina, Jasmine's apprentice! And as Janina later reveals to Jasmine, she coated her Onix in waterproof wax, a misguided cheat that earns Janina a time-out from the Gym.
Jasmine herself is too worried about "Sparkle" to deal with a Gym challenge. This leaves Ash to wander the city, wondering what to do next. He runs into Janina, who apologizes to him and says that Jasmine is at the Shining Lighthouse on the wharf; since Ash wants to ask Jasmine when she'll be ready for a battle, he heads there right away. Inside the lighthouse are Jasmine, her grandpa Myron, and Jasmine's Ampharos, Sparkle, who provides the light for the lighthouse. Sparkle isn't feeling well and Janina's still on a time-out, so it's up to Ash and the gang to pick up Sparkle's medicine from Cianwood City.
Before they can leave, Team Rocket attacks the lighthouse, catching Sparkle and Brock in a cage. Janina sees the commotion and comes to the rescue; without the wax coating, Onix can't pursue Team Rocket across the water, but it can certainly snag the cage and halt Team Rocket's getaway. Janina climbs up Onix to free Brock and Ampharos, then orders Onix to send Team Rocket for a loop. Janina is now back in Jasmine's good graces, and she gladly accompanies our heroes to Cianwood City!