Olive is located in the middle of the desert of Freyland, the southeastern continent of Aselia. During the day, the weather here is unbearably hot, but the village itself it built on the banks of an oasis. The houses are made of wood and erected slightly above the ground by means of columns and pillars. Chickens run free and supply the villagers with eggs. Originating from the Republic of Odin, the village is all that remains of human civilization on the desolate continent.
The protagonists venture to Olive in order to visit Edward D. Morrison, who is to be there as he travels to Midgards. When they inquire about him, they learn that he has already moved on, so they search the oasis for him before returning to the village. There, the inn's landlord tells them that Edward is in search of basilisk skins to heal a disease and would certainly return immediately if someone with a sufficient amount of basilisk skins appeared near the inn. The group pursues and fights basilisks in the desert to obtain a total of five skins. They then rest at the inn, and the next morning, meet with Edward, who asks them to come to Midgards with him because they would be valuable assets in the battle against Dhaos.
In the future timeline of the story, Olive is no longer of relevance to the game's plot, but the group can rest here as they travel to the Tower of Flames to procure the legendary artifact known as Flamberge, which once belonged to the Republic of Odin.