Begin the next story bit and head to the Watch Tower to speak with Oracle about any possible leads on the Scarecrow. To get inside, you'll have to grapnel to the roof and access the hidden entrance, which is marked on the map. Once inside, use Detective Mode to see the bust on the shelf being highlighted, so go up to it and interact to access the hidden room. Go up to the computer and use it to initiate a cutscene.
To find out the location of where Scarecrow is working from, you'll need to get to the movie studio. Use the grapnel to leave the way you came in, then start making your way to the destination. Try to open the gate to find out it doesn't have enough juice, so Batman decides to call Fox to get a new shiny toy for the Batmobile. Head to the objective point and call the Batmobile in to get the power winch.
What this does is allow you to shoot a winch at certain objects to usually let the Batmobile tear off something, but it is used in other ways as well. You can only use while in Battle Mode, so do that and press R1 to shoot the winch at the anchor point ahead of you. Pull back on the left analog stick to basically rip the sign down, allowing you to get onto the roof. However, you will need to hit the Afterburner to get enough speed and as soon as you land, activate Battle Mode to slow down on the roof.
As the game tells you, Battle Mode is a fantastic feature that not only lets you blow crap up, but it can also be used to navigate tight and narrow spaces with the Batmobile. Batman gets all the cool toys, doesn't he? There will be another anchor point on the roof where you land, so do the same thing as before to create a ramp. In the next area, just navigate the path until you reach the end, where you will find yet another anchor point.
The catch is that you won't be pulling anything down with this one. As soon as you attach the winch and while still in Battle Mode, move forward and off the ledge, then pull the Batmobile up the wall to the last area. Drive forward and you'll see where you'll need to juice up the generator. Attach the winch and press R2 to rev the engine, but you'll have to make sure you do it gently, as you don't want the needle to go past the orange area on the speedometer.
When you've done it correctly, you'll see the tower charge up and Batman will get out of the Batmobile. Things aren't quite done yet, though, as you still need to use the antenna to locate Scarecrow, with one being at the Falcone Shipping Yard. Head there and you'll find that there's a total of five thugs guarding it, but this time, they are all armed, so you'll need to find a way to separate them.
Follow the game prompts and grapnel to the vantage point above their position. Switch to another, where you'll need to use a Batarang to draw them out. So, hold down on the directional pad and use the right stick to pick the Batarang at the top of the circle. Aim the Batarang with L2, then press R2 to throw it at the door, which will draw out two of the henchmen inside. It's time for a predator moment!
Once of the goons will be patrolling nearby the grates, while the other will stand on the side of the building he came out. So, when you get a chance, glide down to the grates and quickly press R2 and Circle to go inside of them. Move around to the one enemy moving around and when you see the prompt for a Silent Takedown, press Triangle to do just that. As for the other enemy, grapnel to the vantage point above the small room and drop down to the roof (just press X, not hold it). Move to the edge and you can do a silent takedown from above, eliminating this threat.
The remaining thugs inside will make Batman call Fox and have him bring in an upgraded Batsuit. Oh goody! Another new toy! Go over to the marker and suit up when you can, allowing you to don the new armor, as well as unlock some more training challenges. These include Grapnel Boost Mk II, Throw Counter, Predator Fundamentals, Summon, Eject & Glide and one more, Fear Multi-Takedown. They are all easy enough, so there's no need for a walkthrough of each one. It's a good idea to do them, though, as not only will you learn, but finishing each one will grant an upgrade point.
The very last one listed above is the important one for now, so make an important note to at least do that one. Move into the grate on the ground just outside the room, then quickly move inside and initiate the Fear Multi-Takedown to dispatch the three enemies. Rescue the officer on the floor, then access the control panel nearby and walk out the door. Batman will toss a special Batarang up into the air and you'll have to determine the location of Scarecrow using the radiation and transmission levels. You're looking for a large spike in both, which just happens to be on the far right side of the map, ACE Chemicals.
