The narrative opens with a high-stakes retreat toward the stockade, as the protagonists feel the "pirates drawing closer" with every step. The tension is palpable as the group prepares for a defensive stand. In a moment of redemption, Gray, who had previously wavered, commits himself fully to the loyalist cause; he "spit on his hands" and made his sword "sing as he slashed the blade through the sharp air," signaling his definitive return to the right side.
As the mutineers emerge, a brief but violent confrontation ensues. The squire and the narrator fire their weapons, synchronized with the defensive shots from Hunter and Joyce within the stockade. The immediate result is the death of one mutineer, "shot through the heart," causing the rest to scatter. However, victory is bittersweet and short-lived. A sudden shot rings out, striking Tom Redruth, who falls to the ground. His subsequent death, marked by him "requesting prayers and asking forgiveness from the squire," serves as a somber reminder of the lethal reality of their situation.
Following the skirmish, Captain Smollett takes charge of their meager resources. He performs a symbolic act of defiance by climbing to the roof of the log house to tie the "flag of England" to a fallen tree. This act of asserting their identity is contrasted sharply by the grim reality of their provisions. When the narrator estimates that rescue is "months, not weeks" away, the captain realizes they are "very tight on rations." The loss of a secondary supply load is identified as a critical blow, leaving the group in significant trouble.
The mutineers attempt to intimidate the loyalists through "cannon fire," with a ball landing just beyond the cabin. However, the captain remains unperturbed, dismissing their efforts with, "You'll never hit us from where you are, but you'll do us the favor of using up all your powder." This display of tactical indifference highlights the captain's resolve.
Under the cover of night, an attempt is made to recover lost rations from the shallow water. Gray and Hunter find this effort "useless," as Silver’s men have already seized the supplies. The pirates are described as having "their arms around our supplies" while each bearing a musket, confirming that the enemy is well-equipped and opportunistic.
The chapter concludes with a formal, sobering assessment of their plight. Captain Smollett meticulously records their status in his log, listing the remaining loyalist members: "Alexander Smollett, master; David Livesey, ship's doctor; Abraham Gray, carpenter's mate; John Trelawney, owner; John Hunter and Richard Joyce, owner's servants; Landsman." The entry notes they have "stores for ten days," a countdown that underscores their vulnerability. The record also marks the loss of "Thomas Redruth, shot dead."
Just as the captain finishes his grim ledger, the mood shifts from despair to relief. The arrival of Jim Hawkins, who is seen "safe and sound, climbing over the stockade wall," provides a much-needed glimmer of hope. His return injects a "joyous shout" into the tense, claustrophobic atmosphere of the stockade, marking a pivotal moment in their survival strategy as they prepare for the long, uncertain siege ahead.