This phase starts underwater with [[Rayman]] still following [[Carmen]] and using her air bubbles for air. In this section there are [[piranha]]s trying to destroy the bubbles, so Rayman must be quick. Carmen leads Rayman to a grotto, where the remains of a sunken ship mark the way for escape. Carmen stays underwater, while Rayman enters the ship and swims through the hull up to the surface.
Rayman exits the grounded ship and finds himself in a sunny lagoon with water sliding over a gentle slope at the edges. He can climb the netting to reach the top of the ship's mast, where a cage is hidden, and then use another net on one of the lagoon's walls to reach a cave guarded by an [[Gorilla Pirate]]. Disposing of him allows Rayman to break the last cage and free the [[Teensie]]. Finally, Rayman must slide down the water slope to reach the ledge where the Teensie opens the spiral door to end the level.