Dakota Indian Agent Steve Reynolds, also known as the Durango Kid, reads a story in the Bonanza City Nuggett that blames him for gold mine raids. He and his pal Smiley head to Bonanza City to investigate, only to find that Jim Mallory has sold his mining machinery business to Rance Hudson for $50,000. Hudson plans to rob a wagon train and frame the Durango Kid for the crime, but his plan goes awry when his henchmen kill Mallory and steal the money. Despite this, Hudson orders another robbery, which the Durango Kid foils, but not before learning that the Curlew gang has a hideout in Lost Canyon.
Heading West
The Durango Kid, alias Dakota Indian Agent Steve Reynolds, and his friend Smiley venture to Bonanza City to investigate a series of gold mine heists, which are mistakenly linked to the Durango Kid due to a misleading newspaper report.