"I'm saying timber!" -Ivo Hugh
Diesel Headquarters II was a fortress. It was the sucessor to the Diesel Headquarters.
The headquarters had a crane and smelting devices for scrapping and melting down steam engines. There was another section that is almost identical, but this one has an entrance to the sea with a storage area for ships.
089 and Lady arrived at the Diesel Supply Yard to inform Gold Leader that Connor cannot find him and train util he is ready, the three then go off to the second Diesel Headquarters, but meet Mr. Railway Man and Denton. After a brief fight, 089 and Lady were captured and Denton called 089 his brother. Gold Leader managed to escape though.
Later, Connor and Ivo Hugh were captured and shunted into scraping devices. Lady then was b lifted into another scrap machine, but some of coal spilled into 089's bunker. He immediately took action. He knocked diesels off the tracks as Scruff came in with some stolen diesel army cannons. The place is destroyed and Denton barely escapes.
- This is the only Diesel Fortress that was destroyed on-screen.