he isn't in the one island
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One island in the north.
After fixing the Network Machine on One Island, you can trade a Mudkip from Pokemon Ruby or Sapphire. You can't catch a Mudkip in Pokemon FireRed.
You get the HM rock smash and teach it to one of your Pokemon. You get it on island 1.
Yes, there is a time capsule on one island
You find it on one island in mt ember. No, it is in six island's Ruin valley!