Go back to Altair town.

Recommendation: You should have enough money to buy the magic tomes "Fire Tome", "Blizzard Tome", "Thunder Tome", and "Cure Tome", 3 each, and give them to everyone.

Optional Story: Bring Scott's last message to his brother, Gordon, who is standing behind the Rebel's Hideout building. 
Talk to him and select "Key Items -> Ring".

Enter the hideout, throne room, then talk to Hilda and choose:

• "Key Items -> Ring"
• "Learn -> Mythril"
• "Ask -> Mythril"

Talk to Minwu, who is standing next to Hilda. 
He'll give a key item Canoe and he'll join the party.

• Key Item: Canoe - This item allows you to cross shallow water.

Talk to Hilda again and select:

• "Learn -> Dreadnought"
• "Ask -> Dreadnought"
• "Learn -> Airship"
• "Ask -> Airship" (Optional)

Exit the town.

Now that we have magic to use. Let's make them a bit stronger. This will also help you increase MP too.

• Run around Altair to fight monsters.
• In the battle, everyone chooses "Maigc -> Fire", while Minwu chooses "Defend" (press the right button to show "Defend command).
• Repeat until "Fire" is level 2. Remember to use "Auto-battle" to speed up the battles.
• Repeat the other 2 "Blizzard" and "Thunder".
• Use the Inn to restore MP.