Palolo III, Master of Shadows, is a young boy from Pherkad, in Sadal Suud. He is presumably the son of Palolo II from Baten Kaitos Origins.

In his appearance in Baten Kaitos: Eternal Wings and the Lost Ocean, he is depicted as a mischeivous kid who can infiltrate any place, even Rodolfo´s Mansion. Kalas asks him for help to enter the mansion, and the kid replies that he will, in exchange of a Rainbow Spider´s Web (a very rare item, Palolo has four). After Kalas obtains the item, Palolo shows him a secret passage to the Mansion (Palolo realizes that the web that Kalas gave him is not a Rainbow Spider´s Web, but tells him the secret because "he´s just too good-natured")

At the very end of the game, after Xelha´s sacrifice, he and Cedr are the ones who find the shell from which she emerges.