If you go back to Kalm later in the game (on Disk 2 when u get Could back and the weapons start attacking you can talk to the guy in the house pictured left, in his upstairs room, he's obsessed with the world and loves to travel. He will ask you for 3 items:
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Emerald Weapon: Emerald isn't that hard all you have to do is equip everyone with the same stuff you did last round with Ruby Weapon, but this time you dont have to worry about going into battle with 2 party members dead! You can ninja kick his butt now with all 3! Make sure though that when you do this battle that someone has the Underwater Materia equipped, or else it will not be easy to defeat!!!!!