They will appear at the Ski Hill with their telescope, informing the agent that they had noticed some penguins stranded at the Iceberg. As the agent goes to save the stranded penguins, Dancing Penguin's telescope would break, prompting the agent to fix it for him. As a reward for helping him, Dancing Penguin allows the agent to use his telescope to locate Aunt Arctic's puffles.
After disabling the Electromagnet 3000, they will appear outside the Night Club, crying and explaining that they are sad that the power in the Night Club had also gone out. The agent can help restore the power by resetting the fuse box in the Boiler Room. After restoring the power, Dancing Penguin can be seen happily dancing in the Night Club.
They want to ride the Ski Lift up to the Ski Hill, but the Lift is currently not in operation due to the avalanche. The agent can help repair the Lift by taking the belt of a mannequin in the Sport Shop and using it. Dancing Penguin will jump in joy at the sight of the Ski Lift being operable again.
Dancing Penguin can be seen in the Ski Village, along with two other penguins, playing a game. If the agent approaches them, Dancing Penguin will tell the agent that they had accidentally broken one of the lenses in their glasses. The agent can find a replacement lens by collecting water in a can from either the ocean or the Testing Chamber, and then freeze it in the Testing Chamber. However, as the new lens is too big, the agent can trade with Rory, giving the new lens to him, who is trying to repair the Beacon Telescope, and then taking Rory's leftover lens instead. After acquiring a replacement lens, the agent can give it to Dancing Penguin, which will fit perfectly into their glasses.