In a peaceful kingdom, the Princess Irene and the other people who live in her father's castle don't believe in nasty things like goblins. However, the people in the mining village, like the brave peasant boy Kuri, know the goblins are real and live in the deep dark depths of the local mountain. The Goblins hate the humans--or Sun People, as they call them--and come up with a plan to invade the kingdom and enslave the people underground forever. It's up to Kuri and Princess Irene--with the help of Irene's mystical grandmother and her magic shimmering thread--to put a stop to the Goblin's evil plans.