Batragon has been attacking oil tankers off the Pacific coast for its master Dr. Demonicus who seeks to use the oil in his operations. However this recent attack is interrupted when Godzilla arrives to attack the monster, bringing SHIELD's Godzilla Squad not far behind.
Dugan checks in on Takiguchi and his clan's progress in the Stark plant, before following Godzilla. Godzilla follows the injured Batragon back to the island of Dr. Demonicus who is using a meteor he calls the "Lifestone" to give life to his monsters Batragon, Ghilaron, Lepirax, and Centipor.
When Godzilla arrives on the island and begins terrorizing Demonicus' men and the Eskimo slaves they have forced into laboring for them, Demonicus sends Batragon to battle Godzilla once more. When Batragon is killed by Godzilla, Demonicus decides to unleash all his creations to attack Godzilla, just as SHIELD arrives to attack the Godzilla.