Before you do set off for Los Labyrinth, which is located near Maarport, you will want to check out the wares inside of Watt one more time to see that they have been updated. There are new weapons for each character (all non-elemental), plus the Training Gear you found earlier is now widely available. In addition to that, you can find another colored spritnite, which means you can level up equipment another time. However, the Indigo Spritnite costs a whopping 1500G, which is 500 more than the Red Spritnite, so don’t feel bad if you can’t afford it right now.
You will also want to make a stop at the Magic Consortium, as you can actually get some of the spritnite there now. Kanata should have both Cyclone and Aura available to him, the latter of which is an actual healing skill, so definitely pick that one up. Lumina gets a fire-type physical attack, and Van will gain a skill that allows it to be stronger with the more bits active, meaning Target Ray will have a practical use now. You can also get a few Momentum Spritnite, but none of the Counter ones should be available.
With all of that out of the way, make your way back to Maarport and follow the trail to the east, where you should see some ruins nestled in the mountains. If you didn’t clear the lost here, you will need to do it to access Los Labyrinth, though. Once inside, check the upper right corner of the first room once you gain control to find some knowledge about a new artifact (Platinum Bobb). As the name suggests, it will increase the encounter rate of Platinum Bobbs, but its range is local and you don’t have access to all of the necessary memories yet.
You’ll see a familiar red circle once inside the labyrinth, so activate your vulcosuits and step on it, pressing X to teleport inside the actual dungeon. North of where you enter is an area that has poison gas spewing forth from the ground, so you won’t be able to go that way. Up the stairs to the left will be a green switch that will disable this gas, letting you pass it now. You will come to a split here, with some stairs leading north and others going east. Head north for now to find a dead end section, but there’s a chest on the western end, which contains 4 Panaceas. Double back and continue in the other direction to find a new enemy, Bobbs. These aren’t the extra juicy Platinum ones, as these are just normal enemies.
You should also receive another short tutorial about vulcosuits here, mostly pertaining to their special attacks, Paradigm Drives. They vary from suit to suit, plus you only have one right now, Co-Op, which Kanata uses in conjunction with another character. X-Strike, the only one available, is used when another character is using a vulcosuit. When you’re done tinkering with things, continue south and past the strange-colored block, clearing the next set of enemies. Beyond that will be another dead end, with yet another chest (2 Indigo Spritnites). Yeah, that will save you a nice 3000G!
Backtrack to the one block and press X on it to activate it, which will propel you upwards. Follow the path up here until you encounter someone else in a vulcosuit, who happens to be a familiar face, the man from your dreams! His name is Obaro and he will join your party. Note that Obaro is not physically endowed, but has a few magical skills in his arsenal already (you saw them in the opening battle of the game). He will also teach you a few things about vulcosuits, which is that pretty much any action, outside of equipping/de-equipping them, will consume VP. Also, Boost is a function that you can use to increase movement speed in dungeons, allowing you to avoid battles with enemies. Of course, you wouldn’t do that, as both experience and money are a precious commodity.
To the west of where Obaro joined is another poisonous gas section, so go back the other way and down the eastern path. At the very end will be another switch to disable the gas you just saw. Return to where the gas was, pick up the sparkling bit, then keep going west. When presented with another fork, travel south and you’ll find another switch at the end, shutting off the gas that you see far below you. Double back, continue north and use the block to descend. Inspect the purple sparkle to find an opportunity to create a memory, netting yourself another artifact, Soul Altar.
The exit for this dungeon will be straight north, but there’s another path to the east. The block will move you to the east, where you can fight a bunch of Bobbs, as well as find a small area with four blocks. The blocks can be destroyed with your vulcosuit, but they don’t have anything underneath them, plus there’s nothing past the Bobbs, so it’s completely useless other than get some extra memories from the Bobbs. Use the red circle mentioned previously to exit the dungeon, where you will meet the other great general of the Imperial Army, General Aronus. Once he runs off and his entourage follows, you will be able to exit back to the world map.