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Young Sangay Tenzing left his family home where he herded yaks to be trained as a monk. He learns much and tries hard, but is not content. During a spiritual retreat, the young monk has a vision which leads him on a long journey. With the aid of Jatsang, a traveling sorceress, Sangay overcomes many perils on the road to Shambhala.

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There, he finds that the king is in great danger and the kingdom is under attack both spiritual and actual. As all the king's subjects sleep under a magic spell, Sangay is the only one who can go to the mandala at the center of Shambhala and resist the spiritual menace. When he has freed the king and his kingdom from the magic spell, he is caught up in their army to fight the invaders. Successful in both struggles, the young man is honored by the people of Shambhala. All that he has learned through his instruction as a monk and while traveling with Jatsang falls into place as Sangay realizes who he is and what he will be.

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