In Enlad, a violent storm capsizes a royal war galley as two dragons duel above the clouds, and one falls in a final, fatal clash. The kingdom’s royal wizard, Root, interprets this celestial duel as a sign that the world has fallen out of balance. Meanwhile, the king grapples with a sweeping illness and the troubling disappearance of his son, Prince Arren. In a moment of frightening impulse, Arren murders his father, seizes the royal sword, and flees the castle to escape the consequences of his actions.
Wandering through a harsh desert, Arren is saved from predatory wolves by the archmage Sparrowhawk, and the two set out toward Hort Town. On the way, Arren defies danger to rescue a young girl named Therru from the cruel slaver Hare, but his triumph is short-lived: he is soon captured himself, and his sword is dumped into the sea. Sparrowhawk intervenes once more, pulling Arren from danger and guiding him to a farm kept by his oldest friend, Tenar, who shares the home with Therru.
Sparrowhawk’s bold stand against Hare’s slave caravan unsettles Hort Town’s ruler, the warlock Cob. The mage explains that he is searching for a way to restore the world’s broken balance, and he buys Arren’s sword from a merchant to keep it out of hostile hands. As he dodges Hare’s grip, Sparrowhawk learns more about Cob’s stronghold and the peril that lies within.
Back in the castle, Arren confesses a chilling truth to Therru: he killed his father and senses a strange, unseen presence trailing him. That presence seems to take the shape of a mirror-image version of himself, a manifestation that unsettles him deeply. The young prince collapses into a swamp and is taken to Cob’s castle, where Cob manipulates him by forcing Arren to reveal his “true name,” Lebannen, in order to seize control of him.
To fuel Cob’s schemes, Hare captures Tenar as bait, intending to lure Sparrowhawk into the castle. Therru is tied to a post but frees herself, and Sparrowhawk returns to the defense, giving Therru Arren’s sword to keep him from ruin. A daring break-in follows as Sparrowhawk penetrates the fortress to rescue Tenar, and he discovers Cob’s plan to upset the balance by opening a door between life and death in pursuit of immortality. Cob dispatches Arren to kill Sparrowhawk, while the mage himself is seized by Hare.
Therru witnesses a second, eerie copy of Arren and pursues him into Cob’s domain. There, the prince is spoken to by the light within him, who reveals his true name to Therru and explains the purpose behind Sparrowhawk’s and Tenar’s looming sunrise execution. The girl’s unwavering belief rekindles Arren’s hope; she reveals her own true name, Tehanu, and urges him to reclaim his dignity.
In a pivotal moment, Arren confronts Cob and draws his sealed blade. With a thunderous strike, he severs Cob’s hand that grips the staff, triggering Cob’s rapid aging as his magic drains away. Cob escapes with Therru to the highest tower, and the last of his power is spent in a desperate attempt to strangle Therru to death. Instead, Therru reveals her true form as a dragon, a being of immortal life, and she rends Cob with her newfound strength, saving Arren in the process.
With Cob defeated, Sparrowhawk and Tenar depart the castle, while Therru and Arren descend to a sunlit field. Therru shifts back to her human form, and Arren speaks of returning home to atone for his crime, though he promises to come back to see her in the future. The two bid farewell to Sparrowhawk and Tenar as they set off toward Enlad, while the skies above fill with the sight of dragon kin taking to the air—an enduring sign that the world’s balance has been restored.
