Oddly this whole arc proves me wrong yet again on a major point, which Virmir indirectly confirmed.
I figured that Suzocon-kyo, being a powerful kitsune with full command of kitsunebi, would be the fire kami in this world's pantheon. I was wrong. He was an add-in.
This ancient volcano dragon is probably the fire kami. And pulling a Lord of the Rings on that fake eyestone may have... A lot of undesired effects beyond just killing Roko.
He doesn't even need to have been corrupted by the Puppetmancer. From what Brand has said, mature volcano dragons are corrupt by their very nature and do not care about anyone else's problems.
So what is the Puppetmancer's angle in this? It's obviously the ancient kitsune (?) is still plotting and planning, even as a Voldemort-style mana entity.
To quote Alice: "Curiouser and curiouser."