When an old railroad boss refuses to pay Bat the salary owed him, Bat decides to work for his competitor. Both men are racing to build a railroad through a canyon. Although behind, Bat has an idea on how to win the race for the canyon.

When General Moran bets a spur of his railroad against a Texas horse ranch that a Kentucky thoroughbred can beat a Texas quarter-horse in a 440 yard sprint, he hires Bat to train his horse to win the wager.