It was a late summer’s evening on Friday August 28th 1807. The Ghost caught a glimpse of masts on the south western end of Masirah Island off the coast of Oman. There were three ships, two at anchor and one in sail. As Fial studied the ships with his long glass he identified the Shiraz as one of the ships at anchor. The other two ships were ships of the line; seldom did they venture this Far East.
The Shiraz was a Spanish fifth class frigate till captured by Persian pirates in the Gulf of Aden some years before. Other ships of Fial’s fleet sat well clear of the British warships, Fial realising that one was in sail to discourage approach. Fial got closer and identified the British warships: both class two frigates, the Banshee and the Octavia. The Octavia was at anchor and alongside was the Shiraz. The Banshee circled menacingly, but not menacingly enough to discourage the Ghost.
Captain Wainwright on the quarterdeck of the Banshee studied the bow of the approching sail in the evening light. The wind was from the north east, with the Ghost, and Fial ordered full sail, opened her gun ports and raised the red flag; he made straight for the Banshee. Wainwright could not identify the approaching ship but made a calculated guess when he saw the red flag as he studied her bearing down on them.
"Good God this trip to find information on the Ghost of the Night is now futile! She's bearing down on us with the wind; head south east, draw her away from the Octavia while she has time to pull anchor and set sail!" cried Wainwright. "Battle stations! Man and open all gun ports; marines man the railing cannon and load muskets!"
An eight pound cannon had been mounted on the centre mast crow’s nest platform on the Octavia and Banshee to counter the tactics of the Ghost. Fial knew attacking from the stern would give little chance for the gunner to open fire through the rigging so he continued on toward the Banshee. The Banshee was now half a mile clear of the Octavia with the Ghost in full view of the Octavia on her starboard bow, some four hundred metres away to the north. In a flash Fial changed course toward the Octavia heading for her bow anchored pointing east west. The Octavia was caught with no cannon loaded or men on her lower decks and was a sitting duck; her crew attempting to pull anchor and drop her sails. The captain had been interrogating members of the Shiraz crew on the location of the Ghost, now they knew.
Wainwright watched with his long glass as the Ghost slipped under the Octavia's bow putting four holes in her waterline. The remnants of Fial’s fleet followed the Ghost toward the Octavia and Wainwright ordered the Banshee to go to full sail and take flight. His decision was to return a ship to fight another day. This however did not deter the Ghost who swung from under the bow of the Octavia and made full sail heading for the Banshee. With the wind the Ghost would be on her in two hours in darkness. As the light faded Fial had the flag changed to black, stating he wanted to send the ship home in flames with a strong message: get bigger guns and more of them or stay away.
Wainwright noticed the change of flag and didn't like his chances of taking the Ghost on at night as he could completely lose sight of her, so with the sun going down he swung the Octavia around to the south, dropped sail and lost speed and prepared to engage. The ship under full sail listed to one side in the brisk wind bearing the guns into the water and leaving that side of the ship poorly defended. Dropping sail decreased the influence of the wind causing the list and levelled the ship up leaving both sides of the ship covered by her carronade cannon. The Ghost swung south at four hundred yards well outside the range of the Banshee guns. Wainwright watched through his long glass as plumes of sparks shot from the side of the Ghost dropping a few yards short of the Banshee port side. The next volley of sparks did not; something exploded in the sail rigging as the plumes of spark hit the deck and rigging of the Banshee setting fire to all around it. A further volley of sparks reached the Banshee and she was well alight in the rigging and deck. The Ghost vanished into the night.