Lost Chao Locations
Locating the Ancient Ruins:
You need to go as far to the top of the stage as you can. There are a series of rockets to use, the easiest for me being this: From the start of the level go straight and use the spring which will launch you to a platform with a rocket on it in the middle. Take this rocket up, and you can use it to glide to a larger platform near the floating containers. There is another rocket here. This one will take you all the way to the top. After it launches you, you need to climb up even higher until you get to some platforms you can stand on. Glide round to the other side and you will see the Ancient Ruins.
Finding the Lost Chao:
Activate the ruins with the Mystic Melody and a teleporter will spawn. Use this, and it will take you into the inside of an upright container. There is another Ancient Ruin in this container that will spawn another teleporter, which will lead to the Lost Chao.