Ok... so we're in the square area.
Terminax's idea is for the archers to secure the top of the tower, which should help them keep an eye on the courtyard.
He wants to use the bat to find Team B's location, and to scout for where the bandits might be hiding.
First priority is to find our friends though, and see where they are, while he looks to see if there is an ambush point close to where they setup by the gate the last-time (which should be in the circled area).
In a pinch, if his friends are discovered or about to be, he wants whoever is at the lookout tower to ring the bell, which in theory should pull them towards the gate, where he has set himself up to ambush them with his fire breath and thunderwave.