After arriving in Torch Dragon Territory, Zhang Tie spent two days completing the relevant formalities with the Great Xia Northeast Protectorate authorities. Boundary markers were officially set along Torch Dragon Territory's borders, and Torch Dragon Territory became Zhang Tie's fief.
Torch Dragon Territory lay in the southwestern part of Great Xia's Swallow Return Mountains. Its entire fief covered 1.34 million square kilometers and bordered You Province, Passage Province, and Swallow Province within the Great Xia Northeast Protectorate. It had a freely mobile population of 18.76 million and contained ten cities.
Three of those cities lay within Dense Cloud Commandery of You Province: Heavenly Mystery City, New Fortune City, and Wave Cloud City. Of them, Heavenly Mystery City was a Class B First-Rank city of Great Xia, the largest of the three and relatively more populous. New Fortune City and Wave Cloud City were small cities, one a Class B Third-Rank city and the other a Class C Second-Rank city.
Of the remaining seven cities, four lay in Prosperous Source Commandery of Passage Province: Tranquil Peace City, Snow Pine City, Rock Virtue City, and Clear River City. All four were Class B Third-Rank cities.
Within Gaoping Commandery of Swallow Province, where the Great Xia Northeast Protectorate's central authority was located, Great Commerce City, Martial Merit City, and Eastern Sun City had been assigned to Torch Dragon Territory. Great Commerce City and Martial Merit City were Class B Second-Rank cities, while Eastern Sun City was a Class B First-Rank city.
Since Heavenly Mystery City was in You Province and was one of the only two Class B First-Rank cities in Torch Dragon Territory, Zhang Tie simply chose Heavenly Mystery City as the site of the Iron Dragon Sect's founding ceremony.
Zhang Tie had entrusted his gold invitations to the Great Xia Northeast