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Mickey gets a letter from his Uncle Digger in Australia, asking for the return of a boomerang he gave him time ago. As Mickey gave that boomerang to Goofy, he goes to Goofy's house to seek it. While Goofy takes the boomerang from his basement, Mickey finds the letter has a SOS message in morse code under the signature, so he decides to go to Australia alongside Goofy.
After reaching Australia, Mickey goes to the mail office, where the mailman explains that Digger had retired as a miner, but suddenly returned to the jungle for exploration, and before leaving he had left an associate to get his mail. Mickey finds the associate, a man named Cobber, who gives them a way to follow and after three miles they will find Digger.
While Mickey and Goofy follow the way on horseback, Cobber tries to throw a rock on them from above, but thanks to Goofy remembering a movie where the same thing happened, Mickey manged to see Cobber's shadow above, so they have the horses run faster to escape the falling rock. However, when they reach Uncle Digger's cabin, they are ambushed and captured by Cobber and his partner Alf.
Mickey and Goofy are reunited with Uncle Digger, who explains that Cobber and Alf threatened with harming his pet kangaroo if he didn't write the letter asking for the boomerang. Alf tells Digger to throw the boomerang if he doesn't want to see Mickey and Goofy hurt. Digger throws the boomerang and it falls nearby. Uncle Digger explains to Mickey that the boomerang was a gift from a native, made from a magical wood that can find gold, but it must be thrown with a special technique that just a few, like himself, know.
Cobber and Alf tell Digger to search for more gold, but he pretends to have damaged his arm, and offers instead to teach Cobber how to throw the boomerang to find gold. However, he actually teaches Cobber the traditional way to throw a boomerang and the crooks are taken by surprise by its return; it hits Cobber and Mikey takes his chance to knock out the surprised Alf.
After leaving Cobber and Alf in jail, Uncle Digger is still sad because other bandits may come after him to get gold, and he cannot destroy the boomerang because the native told him that whoever destroyed it would be cursed. As a thankful gesture for Mickey and Goofy's help, Uncle Digger throws the boomerang to find some gold for them. While Mickey takes the gold that will repay the travel expenses, some nearby termites eat the boomerang, so Uncle Digger's troubles are over, and since the termites are the ones who destroyed the boomerang, the curse is for them and not him. Mickey tells Goofy to go back home, and Goofy tries to return jumping like a kangaroo.