After some strange occurrences in the university, the archaeologist and treasure hunter Alabama Smith travels to Machu Picchu, where he hopes to discover a series of lost jewels with the help of a tool acquired in a previous adventure, his time-traveling medallion.
Much like its predecessor, Alabama Smith in the Quest of Fate is an adventure game with simple puzzles and hidden object challenges for the casual market. Most of the time, the screen shows locations related to the plot, and the player has to move between them to collect objects and solve puzzles. The items found are stored in the inventory tray at the bottom, from where they can be dragged and dropped on the correct portions of the scene to perform a necessary action, like unlocking a door with a key. While exploring certain parts of the scenery, a hidden object screen comes up where the inventory is replaced by a list of required items, and the objective is to find every one of them, with some key items stored to be used later.
A series of tools are permanently available on slots at the top of the inventory, like the crowbar, a knife, a magnifying glass and a paintbrush. The medallion becomes available on later chapters, allowing time-travel between different versions of the same locations to solve correlated puzzles. Some of the puzzles take place on a separate screen, where a mechanism of some sort has to be directly manipulated to solve it. They can be skipped in casual mode, an easier difficulty setting that also displays all the objects from a scene at the top of screen. The hint button shows the position of one of the required items, but takes some time to recharge after use.