It begins, when Lily (Mara Wilson) is on her way to visit her Grandpa Burnett (Peter Fonda), but gets on a wrong train. Luckily she gets help from a tiny man, know as Mr Conductor (Alec Baldwin), who shows her a world of magic.
There a friendly steam engine called Thomas pulls the stream train line from the town of Shining Time to The Island of Sodor. But there is trouble about, as Diesel, a mean engine, has put out of commission one of Thomas' friends, Lady.
Normally Mr Conductor would be there in a flash, but he is out of magic gold dust. So Lily sets off with Thomas to find more magic dust and stop the Diesel engines.
The movie is directed by Britt Allcroft.