In Antonio Island, Oregon, the dwellers are celebrating the anniversary of the foundation of the seaside town and the mayor has built the statues of the founders: Wayne, Castle, Williams and Malone.
The descendent Nick Castle owns the Castle & Son, a fishing charter company, using his vessel Seagrass for tourism in the Antonio Bay. When his girlfriend Elizabeth Williams returns to the island, coincidently a huge fog appears with weird noises and killing locals. When Elizabeth slips in Nick's boathouse and falls in the sea, she finds an 1871 journal written by a man called Blake, who bought half the island for his leper people to build a town for them to live. While sailing in the clipper
ship Elizabeth Dane, bringing his community to Antonio Island, Blake is betrayed by Wayne, Castle, Williams and Malone. The quartet locks Blake and his friends in the vessel, steals their money and possessions and fires the ship, killing them. In the present days, the ghosts of Blake and his crew are seeking for revenge on the descendants of the criminals.