While Farouk tries to get a camel to move, he sees a huge shadow coming toward him. At the marketplace, Aladdin is annoyed that he can't afford to buy food for a special dinner he was going to make for Jasmine. Genie, however, offers to help create a meal, while Iago suggests that Aladdin asks the Sultan since he's going to inherit his fortunate once he marries into the family. However, Aladdin denies both these ideas as he wants to do things for Jasmine on his own. Then a giant Sand Shark attacks Agrabah.
While a group of merchants is at the palace ranting to the Sultan about the shark, a flying ship manned by the ever-vigilant Captain Merc, who seeks out the shark, comes to the Sultan and asks for a crew. When the captain mentions treasure, Aladdin volunteers.
The next morning, the gang, including Jasmine, gets on the ship to help Merc defeat the shark, which he calls "the Beast." The Beast swims toward the ship and the gang and Merc try to catch it, but fail. Merc decides to use Abu as bait, so he throws the monkey out of the ship. Genie turns into a fisherman and rescues Abu.
When the Beast swims away, the ship hits a rock formation and stops, making the gang and Merc stranded. The Beast returns and Genie turns into a jack to raise the ship free from the rocks. The Beast jumps over the ship and while it does so, to everyone's surprise, treasure falls out of its belly. Jasmine wants to go home, but Aladdin wants to stay on the ship for one or two more days. Jasmine then tells Aladdin that he's starting to become just like Merc since all he cares about is treasure.
Come nighttime and the gang is asleep. Merc goes to the room Jasmine and Carpet are in. He traps Carpet in a chest and Jasmine wakes up. Merc throws a pouch at Jasmine and gas comes out, making the princess unconscious. He then places Jasmine in the middle of the desert.
The next morning, Carpet goes to the room the rest of the gang is in. Genie frees Carpet from the chest and Carpet is about to tell them what happened to Jasmine. Aladdin and the others fly off the ship to find Jasmine. They find Jasmine at the top of a rock waving at them. When everyone gets on the rock, the Beast shows up and tries to knock everyone off the rock. Merc shows up and strikes the Beast's tail with a harpoon. The gang gets on the ship to help Merc catch the Beast, which is still alive. The shark later jumps up halfway onto the boat and tries to attack everyone. Everyone gets off the ship. Aladdin and the others climb on a nearby cliff while Merc tries to throw his harpoon at the Beast again. Aladdin then gets an idea and he and the others make the shark come toward them. When it does so, it runs into a rock and becomes unconscious.
At night, everyone's in Agrabah. The Beast is tied up in front of the palace with a crowd gathered to see it. The Sultan and Merc are glad that Merc's long hunt is finally over, but Merc does not know what he wants to do with his life now. Jasmine tells the captain that the treasure is his.
The next morning, Razoul sees that the Beast is gone and lets everyone know. Later that day, Merc is about to leave and he tells everyone that the Beast is heading to its home and he'll follow it. When the ship flies off, Genie finds Merc's harpoon, making everyone realize that he let the Beast go. Aladdin says that Merc realized that some things are more important than treasure.
- The title of the episode is a parody of the Indiana Jones film Raiders of the Lost Ark.
- Madame Upanova from the 1940 film Fantasia makes a cameo in this episode, when Genie tries to help Aladdin create a meal for a special dinner to Jasmine.
- This story may be inspired based on novel called Moby Dick, Merc is Captain Ahab and the Sand shark is Moby Dick the White Whale.