Cosmo Canyon Cosmo Canyon is a location in " Final Fantasy VII " . It is also known as the " Valley of the Fallen Star " . It is a pilgrimage site for those who wish to pursue the study of natural life , and home to an observatory from which the Planet and its surroundings can be studied . The eco - terrorist group AVALANCHE was founded in Cosmo Canyon by an unspecified person at an unknown time . The members of Red XIII ' s tribe are the guardians of this land . Every fifty years a male and female of the species perform a rite to appease the Planet . Cosmo Canyon has several notable features : there is an observatory created by the elder Bugenhagen ; the Cosmo Candle , the guardian fire which always burns ; and the Shildra Inn , where they serve a popular drink named after the Cosmo Candle . Story . Gi Tribe . Cosmo Canyon is Red XIII ' s birthplace . For years , Cosmo Canyon was protected by a tribe of warriors of Red XIII ' s species . Nanaki ( Red XIII ) is the current guardian . Cosmo Canyon was once at war with the Gi Tribe , but they were defeated by Nanaki ' s father , Seto . Seto secretly sacrificed himself to save his home and family but continues to watch over Cosmo Canyon as a stone statue . " Before Crisis - Final Fantasy VII - " . The organization of AVALANCHE is founded in Cosmo Canyon by a man who realizes the danger posed by the Mako Reactor s after learning the Study of Planet Life . Despite this , Cosmo Canyon never turned into a main battlefield between AVALANCHE and the Shinra , as the movement placed their base of operations in Wutai . The Turks are sent to Cosmo Canyon to find a specimen of Red XIII ' s species for Professor Hojo ' s research in Chapter 18 . At the same time , Nanaki and the female Deneh are to perform the fifty - year ritual . Nanaki is frightened to take part in the ceremony , and tells this to his adoptive grandfather , Bugenhagen . Nanaki ' s fear makes Deneh consider him a coward . While Fuhito of AVALANCHE travels to confront his old master , Bugenhagen , the Turks fight through AVALANCHE forces to try to steal Deneh , but Nanaki jumps ahead to save her . Though Nanaki is taken into Shinra hands , Deneh escapes unharmed . " Final Fantasy VII " . While traveling across the continent on a buggy , the vehicle breaks down and the party is forced to take refuge in Cosmo Canyon . Red XIII , who hails from Cosmo Canyon , goes with them . Bugenhagen tells Cloud and his companions about the Planet and the Lifestream . Aeris learns about Cetra and the Promised Land , while the townspeople will also tell Cloud about Professor Gast and how he visited the town thirty years prior before their arrival , having made a grave mistake . Bugenhagen senses Red XIII resents his father , thinking he ran off when fighting the Gi Tribe . In order to let Red XIII see the truth for himself , Bugenhagen opens the sealed door to the Cave of the Gi , filled with ghosts of the Gi Tribe . At the end of the cave they find a petrified Seto . Red XIII learns that his father defended the cave with his life and that his body turned to stone due to the Gi Tribe ' s poisonous arrows , but his petrified body still looks over the cave entrance . Red XIII forgives his father and howls at his memory , which sends tears falling from the stone Seto ' s eyes . Later , Cloud and his allies bring the Huge Materia they ' ve retrieved to Bugenhagen ' s planetarium . When Meteor begins approaching the Planet , the greatest elder of Cosmo Canyon , Bugenhagen , dies at the age of 129 . The other elders , Elder Hargo and Elder Bughe , continue to study the history of the Planet ' s life . Locations . Cosmo Canyon is located to the South - West on Gaia ' s Western continent . Town . Exterior of the town at the bottom of the canyon . Entrance . The Cosmo Candle is found here . This location is split into three areas . There is the ground level area where most areas are accessible from . In the bottom left of the screen is the exit to the world map . In the top left there is a staircase up into the Tiger Lily Arms Shop . The sign outside the entrance reads " Arms Shop " , though interacting with it gives the player dialogue advertising Pub Starlet and Shildra Inn . Further to the right is a door next to a ladder . The ladder can be climbed although the hut it leads up to contains nothing . The door enters into Starlet Pub . In the top right is another ladder that leads up into the Item Store . Several other huts are visible , but cannot be accessed from this area , and not all of them correspond with rooms accessible from elsewhere . The ground level also has a bench and three stands stocked with various bottles , but none of them can be interacted with . A number of animated 3D wind turbines provide the town with electricity . In the center of the area is the Cosmo Candle . At certain points of the game the cast will gather around the fire , using its own close - up area . This occurs when the player visits before heading through the Gate of Naught , after the player has visited before they leave Cosmo Canyon , and later in Part 3 during the scenes involved in obtaining Red XIII ' s Ultimate Weapon . A higher level of the canyon exits from the Tiger Lily Arms Shop and leads up to a higher level into the Gate of Naught . An elevated plateau connects only to the Gate of Naught and allows the player to view the entire canyon . Above the town is the clifftop . This is accessed through a ladder in Gate of Naught . Unused dialogue for this area indicates that a save point may have existed in this area at one point , but one is not present . Tiger Lily Arms Shop . The Tiger Lily Arms Shop is the first inside area that branches off into a number of other areas . The area has a save point on the lower level . On this same level is also the Weapon Shop that sells weapons an armor to the party . The letter to the player ' s left of the shop is the Turtle ' s Paradise Newsletter , Number 4 . The exit in the bottom left of the screen takes the player out onto the town onto the stairs leading down to the canyon floor . On the upper level , the exit on the left side is an exit into the ledge stairs of the canyon leading to higher up buildings . The exit at the top leads into Elder Hargo ' s Room . This area is referred to as Cosmo Canyon in the menu , and as in the " Final Fantasy VII Ultimania Omega " . The shop name is never referred to in dialogue , though the shop ' s name is written in English on the sign . The Japanese katakana for the sign is given in the " Final Fantasy VII Ultimania Omega " . Elder Hargo ' s Room . Referred to as Elder ' s Room in the menu , it is more fully titled as Elder Hargo ' s Room in the " Final Fantasy VII Ultimania Omega " . Hargo can be found here , as can Barrett when the party splits up . The room seems to be in an unusual state of disrepair , with boards having fallen out of the wall and been left strewn on the floor . The walls have been covered with cloth on the outside to provide insulation . Like the other huts , it is octagonal with a peaked cloth roof . The room lacks the " lived - in " quality of the other huts , with the only hint that anyone lives there being some bottles and books on the lone cabinet and a mat near the doorway . The room is otherwise lined with various crates and barrels , and has a rope , oil can , and bucket tucked away in a corner . It is lit with a hanging lantern producing a greenish glow . The only exit is back to the Tiger Lily Arms Shop . Gate of Naught . Beyond the gate is the descent to the Cave of the Gi . The gate is only opened once in the plot and otherwise remains shut . The stairs to the left lead to an elevated plateau offering a view of the town . The path next to that leads back outside to the stairs down . The rightmost path leads to the Dining Hall . The final path leads to the Materia Shop . The ladder up leads to the Clifftop . While there are a few containers tucked away in corners , the most prominent feature is the vault door leading to the caves beneath the town . Starlet Pub . The counter for the Shildra Inn is on the upper level . If the player talks to the clerk when Tifa is the party leader , he will incorrectly refer to the inn as the " Shindra Inn " . The innkeeper ' s desk has a potted cactus on it near the inn room ' s door , and a pigeon hole setup with two cabinets on the wall behind . The bar is well - stocked with bottles and a pair of tapped kegs . There is also a sink behind the bar . Additional kegs are stacked against the stairs up and tucked into corners . The bar has four stools and there are two picnic tables each with a candle . One table has a sake set , while the other has a wine bottle and glass on one side of a card game in progress . Nanaki ' s Room can be accessed from the ground floor using the door on the right and traversing a staircase in the Cave room . There is a Turtle ' s Paradise poster near the door to the inn . The only inhabitants are the innkeeper , bartender , and one patron . Cave . A small in - between Cave area linking the Starlet Pub to Nanaki ' s Room . It contains a staircase and a few storage containers , but otherwise lacks notable features . Materia Shop . The Materia shop has one exit , to the Gate of Naught , and is a combined living space and shop . The owner can be found sleeping behind the counter , as he gets so little business . However , he does have a sleeping mat in a lofted area which he can reach using a ladder behind the counter . Other homey touches include a large frame containing what may be a promotional image of Rocket Town depicting a launch over the door , two shelves full of books , and a woody plant growing out of a round urn , though said plant lacks any leaves or greenery and may be dead . A pair of bottles , one tipped over , on the floor close to where he is often found sleeping with his back to the counter might hint at how he spends his ample downtime . These bottles are not normally seen by the player due to the camera mechanics and are likely an Easter egg . The loft serves as additional storage space and there are several crates beneath it , including one which blocks the player from going behind the counter . A greenish glow from the hanging lamp illuminates the room . Like many of the other huts , it is octagonal and made of wood , save for the peaked cloth roof . Dining Hall . An adult and child are found here . The room combines certain aspects of a living space and mess hall . There is a large table with three padded stools , set with a pitcher and a dirty plates with wooden spoons laid askew on the place mats on two opposite corners . A small boiler seems to provide hot water to a water pump and basin . There is a stove and many cords of wood piled next to it . Mining equipment including a rope , ladder , shovel , and rusty pickaxe with one tip worn shiny hung with care on the wall . Despite this , there is also a hanging bed with a number of framed pictures on the wall opposing it . There is only one barrel and a large number of small pots and urns placed with care . A mat lies outside the door , and a nicely patterned rug dominates the floor , with a drainage mat placed over one corner . The room is unusually prim among the huts in town . It is an octagonal room made of wood with a peaked cloth roof , illuminated by a hanging lantern with a greenish glow . A slatted screen is tied above the door . The only exit is back to the Gate of Naught . Nanaki ' s Room . A small octagonal room with cloth walls , a peaked cloth ceiling , and a ring of storage seats around the perimeter , excluding the doorway . A pair of metal bars and a few green and orange feathers are strewn about the floor over a dirty rug . Pillows are laid out inside the ring of the room on the floor , in minor disarray , and two additional smaller rugs are laid over the storage benches . From the ceiling hang four tattered black banners and a lantern with a greenish light . Despite the high level of detail , there are no obtainable items or notable events in this room . Shildra Inn . An inn room which can be paid for on the upper level of the Starlet Pub . There is a hidden Elixir in the futon . The room is carved from the stone of the canyon and features two beds , a futon , and several modern amenities including a standing lamp , refrigerator , bedside lamp , and alarm clock . It also features older amenities including a hanging lantern , dressing table and mirror , and picture of a scenic sunrise . A standing table features a pot of flowers , while the bedside table has a book in the niche . There is a pitcher and two glasses atop the fridge and a barrel in the corner . Item Store . Accessible by climbing a ladder from the main part of Town , it is a unique two - hut location , and the only shop in town where the living quarters are not in the shop itself , when living quarters are visible . Initially , only the shop is accessible , or even visible , due to the area behind the counter being roped off . However , later in the game , the player can access the living quarters in the other hut via the bridge between them . The shop contains a large number of containers ranging from barrels and crates to small boxes . Several irregular sacks hang from the ceiling along with a lantern emitting greenish light . There is also a large potted plant . There is a balcony outside which is used for additional storage . The house contains a hanging bed and several bottles and small containers , as well as several framed pictures . A table set with a bottle , bowl , and wine glass stands at one of the walls facing the player . A greenish - glowing lantern hangs from the middle of the ceiling , with an orange - glowing device beneath it . Several pieces of junk are leaned against the far wall . Both are octagonal rooms with wooden walls and peaked cloth rooves . The bridge between them is made of the same wood and has railings on both sides . It appears to branch off at an angle and may have been intended to indicate access to further huts , but no further rooms are accessible in that direction . A slightly lighter area implies the canyon wall , which this branch of the bridge ostensibly curves around , as it disappears behind the back wall of the shop . Clifftop . The area outside the Observatory . The area is fenced off , but has a gate which has been left open , beyond which is a small telescope on a stand . A ladder leads down to the Gate of Naught . The door leads to Bugenhagen ' s Room . The balcony is accessible from inside the building and represents the highest point in the canyon . The gate is topped with multicolored letters , but they are illegible . The Planetarium is topped with a spinning satellite dish done in 3D which is mounted on a post in the background depicting the wire coiled around it , while the Observatory itself has a giant telescope and what appears to be a crow ' s nest above the entrance to the balcony , which , while not accessible , supports a rod that holds a silver crescent moon aloft . There is also an animated 3D weather vane near the door . Bugenhagen ' s Room . A three - level house including the Observatory . The Planetarium can be accessed through the door on the far wall . The doormat indicates the exit to the clifftop outside . The ground floor contains a kitchen with a stove and sink , refrigerator and freezer , and a table with seating for four set with a mug and two bottles . Additional bottles are set on a crate nearby and there are several barrels set out of the way . A table on the other side has a lamp and book set on top . A large red and yellow rug dominates the floor . A ladder leads to the bedroom , which has both a bed and futon , a standing lamp , and a table set with a pitcher and bottles and two glasses . A rug matching the floor below dominates the floor here as well , but is turned so the corners oppose . The same ladder used to reach this floor can be followed further up to the balcony outside . A separate ladder leads to the observatory . The observatory is dominated by the telescope , but also has a screen depicting another galaxy on the opposite wall . Pipes , valves , and pressure meters permeate the whole building . Planetarium . Accessible only from Bugenhagen ' s Room , with the exit back to the left , the room has two levels . The ground level has a large ship ' s wheel mounted on the wall near the door , a stylized pipe organ , and an old - style phonograph with a trumpet - style horn in the back . There is a black boiler barrel connected to a pipe leading down to a large radiator to provide heat to the room , though it is inactive . An charcoal gray machine controls the olive green platform in the center of the main part of the room , which has a gemini projector ball setup in the middle . Above the green circle is a cerulean dome with orange mountains around the lower rim and a large apparatus consisting of a sun , planets , and shooting stars connected by a number of circular supports . A wooden rim lined with globe lights separates the two . Activating a red - balled level raises the platform into the upper level . Upon arrival , the celestial accoutrements take on a much more realistic appearance , moving around seemingly without support and showing a capacity to respond to Bugenhagen ' s interactions . The physical objects may serve as holographic markers to a much more complex simulation , similar to , or might otherwise move out of the way or themselves be a much simpler simulation . The level will lower the platform when flipped again . Seto ' s Wall . Beyond the exit of the Cave of the Gi lies this location . It is only visited once , and only for a scene . Seto stands at the top of the area , petrified , while a red moon hangs in the night sky . Here , Bugenhagen relates the truth of Seto ' s heroic sacrifice to the party . Red XIII promises to honor his father ' s name and to become a great warrior and save the Planet , causing Seto to cry glinting tears . After the scene , the party is returned to the Cosmo Candle automatically . Red XIII ' s promotional art depicts him standing beside his petrified father while the moon shines white . While this set of images does not depict actual events in the game , they are sometimes indicative of the desires of the characters . It may also indicate that he returns later to tell his father of his deeds , similar to his promise he will return to tell Bugenhagen of them during the scene . Quests . Turtle ' s Paradise . There are two Turtle ' s Paradise flyers in Cosmo Canyon ; number 4 in Tiger Lily ' s Arms Shop on a post of the shop , and number 5 in Starlet Pub next to the counter for the inn . If the player finds all flyers scattered around the game they can win a prize in Turtle ' s Paradise bar in Wutai . Hidden Elixir . If the player talks to a man near the bonfire , they will find out he is the one who will fix the player ' s broken buggy . If the player insists on paying him 1000 gil , he will tell that there is a treasure in the couch in the inn , which turns out to be an Elixir . The player can get the Elixir without getting the hint , however . Date mechanics . Before the party ' s second storyline visit to Gold Saucer , various player choices play toward choosing who will be Cloud ' s date that night . When the player enters Cosmo Canyon for the first time , the party will split up . If the player had Barret in the party during this time , they can exchange dialogue about the formation of AVALANCHE in the room behind the weapon shop . Asking Barret to go on ( + 3 affection points ) and tell more ( + 3 affection points ) will give points toward getting Barret in Gold Saucer as a date . The first question ' s affection points can be received an unlimited amount of times . After giving the first answer , respond with " Yeah , whatever . . . " and , due to a script error , the dialogue will reset when the player exits and reenters the room . Hidden items in item shop . If the player returns in disc 2 after the Meteor has been summoned , they can get to the back room of the Item Shop to find a Full Cure , Elixir and a Magic Source . Fort Condor . There is a battle for a Megalixir after getting the buggy but before entering Cosmo Canyon , another one for five Hi - Potion when the party gathers around the fire but before entering Cave of the Gi , and another for five Hi - Potion any time after Cave of the Gi but before speaking to Shera in Rocket Town . The second of these battles is easy to miss because the buggy will break down if is is taken near Cosmo Canyon and won ' t be fixed until after the Cave of the Gi events . Therefore to do this battle the party must park the buggy before getting too close to Cosmo Canyon and traveling the rest of the way on foot . Mystery Ninja . There are no forests around Cosmo Canyon to fight the Mystery Ninja in , however if the player leaves to the World Map during the events of Cosmo Canyon ( after selecting the party around the fire but before Cave of the Gi , before that and the player will be unable to leave anyway ) , they will not be able to encounter Mystery Ninja . This is one of the few times in the game that she is unencounterable in forests . Huge Materia . The Huge Materia the party captures from Shinra are stored in the observatory . If the correct conditions are met , the player can obtain Master Materia . Master Magic is obtained by bringing at least one copy of all mastered Magic Materia to the green Huge Materia , whereupon the Materia merge . The player loses all individual Materia pieces , but all the spells will be contained in Master Magic . The process can be repeated were the player to master all the Materia again . The player obtains a Master Command Materia if they bring a mastered Steal , Sense , Throw , Morph , Deathblow , Manipulate and Mime Materia to the yellow Huge Materia . The Materia merge into a Master Command that has all the base commands from the merged Command Materia , as well as Coin . If the player presents the Bahamut and Neo Bahamut Summon Materia to the blue Huge Materia , they will acquire a third Bahamut Materia , called Bahamut ZERO . Bringing all mastered Summon Materia to the red Huge Materia has them merge into a Master Summon . It is arguably the toughest to acquire , but the summons in it can be cast without restrictions . If the player fails to obtain a Huge Materia , it won ' t be placed in the observatory . If the player misses out on one of them , the blue Huge Materia will not be placed in the observatory . If this happens , the player can still get Bahamut ZERO from Bone Village . If the player loses two Huge Materia , they miss out on the red and blue Huge Materia , and if they only save one Huge Materia , it will be the yellow one . It is possible to lose all four , and if the party arrives to Bugenhagen ' s observatory with no Huge Materia in their possession , the party will be unable to access the upper floor for the rest of the game . Red XIII ' s ultimate weapon . If the player returns to Cosmo Canyon after the events in Midgar at the end of disc 2 Bugenhagen will give Red XIII his ultimate weapon , the Limited Moon . Musical themes . The background music to Cosmo Canyon is the eponymous song " Cosmo Canyon " , which is similar to " Red XIII ' s Theme " . Development . According to the " Ultimania Omega " guide , Jenova , or a form of her , rather , was originally supposed to be fought in Cosmo Canyon . Barret also mentions he had promised Jessie , Biggs and Wedge they would go to Cosmo Canyon to celebrate one day . The original script for " Final Fantasy VII " in fact did include a scene where Barret and the other members of AVALANCHE would talk about going to Cosmo Canyon . This scene , however , was cut from the game ' s final version . In the original game manual for the first Japanese release of " Final Fantasy VII " , there is an " early " screenshot of Cosmo Canyon that differs from the finalized version seen in the retail game . Curiously , this early Cosmo Canyon scene exists as part of dummied content from the Honey Bee Inn , where TV screens would have displayed different locations from the game , the early Cosmo Canyon included . The differences between the two versions range from the presence of more rock formations in the foreground , to lamps , which were replaced with torches in the final game . Other appearances . " Theatrhythm Final Fantasy Curtain Call " . Cosmo Canyon appears as the FMS for its eponymous theme . Etymology . The word " Cosmo " likely derives from " cosmos " . The use of the term in " Final Fantasy VII " likely alludes to its " world " meaning , as Cosmo Canyon is the center of study on the Planet and its Lifestream .