When attacking with this item, 4 bars appear instead of one. Its attacking animation is a large star flash, then a circle of eight stars that go outwards from the middle of the screen.
It can be found in early Hotland, in the first area of steam vents. After jumping on the first two vents, a vent pointing to the right lands on a larger area of land. Down from there, a room can be found with a steam vent in the middle, and two other pads on either side. When timed right, the protagonist can go onto the middle steam vent, get launched to the left, and then find the Burnt Pan.