This level mostly takes place in an icy cave. Completing this course is not required in order to progress in the game, but doing so unlocks a green Toad House.
The level starts out on the snowy surface, with a ? Block and an Ice Bro located nearby. There is a Warp Pipe near the Ice Bro, along with a Hidden Block containing a 1-Up Mushroom. The pipe leads to an icy underground area with water, several falling icicles and moving ice blocks. After a Goomba-spawning pipe and the first Star Coin is a Roulette Block, an Ice Bro and more Goombas followed by a Warp Pipe leading to the midway point. The player then comes across giant falling icicles which can be walked across, along with more smaller falling icicles. After some distance, a giant falling icicle appears with another Warp Pipe nearby. Entering the pipe brings all players to another underground area. This section is filled with falling icicles. A barrel is found at the beginning of the area, under a platform next to a ? Block. After another Ice Bro is a Warp Pipe leading back to the surface. A small hill leads to the flagpole.
- Star Coin 1: The first Star Coin is hidden under the ice platform with the first lone ? Block. Mario and co. must swim to it or get on the ice platform and fall to it from there
- Star Coin 2: In the second underground area, the second Star Coin floats over an Ice Bro, two ? Blocks, a row of Brick Blocks, and four Goombas. Mario and co. must jump up to the Star Coin while avoiding the Ice Bro.
- Star Coin 3: *Star Coin 3: In the third underground area, Mario and co. must pick up the Barrel and carry it all the way to the end of the area. Once there, Mario and co. should avoid the nearby Ice Bro and throw the barrel at the third Star Coin, which is floating over a pit to the right.