diff --git a/client/scenes/shell/NarrationBook.tscn b/client/scenes/shell/NarrationBook.tscn
new file mode 100644
index 0000000..465a65b
--- /dev/null
+++ b/client/scenes/shell/NarrationBook.tscn
@@ -0,0 +1,6 @@
+[gd_scene load_steps=2 format=3]
+
+[ext_resource type="Script" path="res://scripts/ui/shell/narration_book.gd" id="1"]
+
+[node name="NarrationBook" type="Control"]
+script = ExtResource("1")
diff --git a/client/scripts/ui/shell/narration_book.gd b/client/scripts/ui/shell/narration_book.gd
new file mode 100644
index 0000000..d1a4626
--- /dev/null
+++ b/client/scripts/ui/shell/narration_book.gd
@@ -0,0 +1,106 @@
+class_name NarrationBook
+extends Control
+## The permanent DM narration book (mock 2a, right panel). §2: text — it consumes
+## /dm/narrate prose and never treats it as truth; only harvested [FACT] tags are
+## written back to the canon log (§11). Prose-only this milestone: the numbered
+## response choices and the "describe your own action" line are faithful but inert
+## (no action system yet); one in-world refire affordance re-runs narration.
+
+var last_degraded: bool = false
+
+var _service: DmService
+var _log: CanonLog
+var _state: ShellState
+var _header: Label
+var _prose: RichTextLabel
+var _status: Label
+var _refire: Button
+var _degraded_tag: Label
+var _indicator: ConsideringIndicator
+
+
+func _ready() -> void:
+	var col := VBoxContainer.new()
+	col.set_anchors_preset(Control.PRESET_FULL_RECT)
+	col.add_theme_constant_override("separation", 18)
+	add_child(col)
+
+	_header = Label.new()
+	_header.theme_type_variation = ThemeKeys.ACCENT
+	col.add_child(_header)
+
+	_prose = RichTextLabel.new()
+	_prose.bbcode_enabled = true
+	_prose.fit_content = true
+	_prose.size_flags_vertical = Control.SIZE_EXPAND_FILL
+	_prose.custom_minimum_size = Vector2(660, 320)
+	col.add_child(_prose)
+
+	_degraded_tag = Label.new()
+	_degraded_tag.theme_type_variation = ThemeKeys.MONO
+	_degraded_tag.text = "THE MASTER'S VOICE COMES THIN"  # shown only when degraded
+	_degraded_tag.visible = false
+	col.add_child(_degraded_tag)
+
+	# Faithful-but-inert placeholders (charter: prose-only this milestone).
+	var prompt := Label.new()
+	prompt.theme_type_variation = ThemeKeys.ACCENT
+	prompt.text = "▸ Your turn. What do you do?"
+	col.add_child(prompt)
+	for line in [
+			"1 · Pay the fence double and keep your hand where he can see it",
+			"2 · Draw your blade — he's closer than his guards",
+			"3 · Lie — tell him the rest is coming with your dwarf"]:
+		var choice := Button.new()
+		choice.theme_type_variation = ThemeKeys.PARCHMENT_BUTTON
+		choice.text = line
+		choice.disabled = true  # inert until combat/dialogue give choices meaning
+		col.add_child(choice)
+	var free_text := Label.new()
+	free_text.theme_type_variation = ThemeKeys.MONO
+	free_text.text = "⌨  …or describe your own action"
+	col.add_child(free_text)
+
+	# The one live control: refire the narration.
+	_refire = Button.new()
+	_refire.theme_type_variation = ThemeKeys.PARCHMENT_BUTTON
+	_refire.text = "▸ The Master continues…"
+	_refire.pressed.connect(_on_refire_pressed)
+	col.add_child(_refire)
+
+	_status = Label.new()
+	_status.theme_type_variation = ThemeKeys.MONO
+	col.add_child(_status)
+
+	_indicator = ConsideringIndicator.new()
+	add_child(_indicator)
+
+
+func setup(service: DmService, log: CanonLog, state: ShellState) -> void:
+	_service = service
+	_log = log
+	_state = state
+	_header.text = "%s · %s" % [state.round_label, state.location_label]
+
+
+func narrate() -> void:
+	if _service == null or _log == null:
+		return
+	_refire.disabled = true
+	_indicator.start(_status)
+	var result: NarrateResult = await _service.narrate(_log)
+	_indicator.stop()
+	show_prose(result)
+	for f in result.facts:
+		_log.add_fact(f)  # §11: code applies the state write, explicitly
+	_refire.disabled = false
+
+
+func show_prose(result: NarrateResult) -> void:
+	_prose.text = result.display_text
+	last_degraded = result.degraded
+	_degraded_tag.visible = result.degraded
+
+
+func _on_refire_pressed() -> void:
+	narrate()
diff --git a/client/scripts/ui/shell/narration_book.gd.uid b/client/scripts/ui/shell/narration_book.gd.uid
new file mode 100644
index 0000000..5d65a8f
--- /dev/null
+++ b/client/scripts/ui/shell/narration_book.gd.uid
@@ -0,0 +1 @@
+uid://blmbc06xpea3x
diff --git a/client/tests/unit/test_narration_book.gd b/client/tests/unit/test_narration_book.gd
new file mode 100644
index 0000000..5914a1f
--- /dev/null
+++ b/client/tests/unit/test_narration_book.gd
@@ -0,0 +1,37 @@
+extends "res://addons/gut/test.gd"
+
+const SCENE := "res://scenes/shell/NarrationBook.tscn"
+const FakeTransport = preload("res://tests/doubles/fake_transport.gd")
+const DmResponse = preload("res://scripts/net/dm_response.gd")
+
+
+func _book_with(response) -> NarrationBook:
+	var transport = FakeTransport.new()
+	transport.set_response(response)
+	var service := DmService.new(transport, FallbackLibrary.new())
+	var book = load(SCENE).instantiate()
+	add_child_autofree(book)  # _ready() builds nodes + the considering indicator
+	book.setup(service, CanonLog.new(), ShellState.seed())
+	return book
+
+
+func test_narrate_shows_prose_and_harvests_facts():
+	var book := _book_with(DmResponse.ok(200,
+		{"prose": "The rain runs black into the gutter. [FACT: the eastern bridge is out]"}))
+	var log := CanonLog.new()
+	var transport = FakeTransport.new()
+	transport.set_response(DmResponse.ok(200,
+		{"prose": "The rain runs black into the gutter. [FACT: the eastern bridge is out]"}))
+	book.setup(DmService.new(transport, FallbackLibrary.new()), log, ShellState.seed())
+	await book.narrate()
+	assert_string_contains(book._prose.text, "The rain runs black into the gutter.")
+	assert_false(book._prose.text.contains("[FACT"), "tags are stripped from displayed prose")
+	assert_true("the eastern bridge is out" in log.established_facts, "fact harvested to the log")
+	assert_false(book.last_degraded)
+
+
+func test_degraded_response_shows_fallback_and_sets_flag():
+	var book := _book_with(DmResponse.failed("proxy down"))
+	await book.narrate()
+	assert_true(book.last_degraded, "a failed call degrades")
+	assert_ne(book._prose.text, "", "the fallback line is still shown (§13)")
diff --git a/client/tests/unit/test_narration_book.gd.uid b/client/tests/unit/test_narration_book.gd.uid
new file mode 100644
index 0000000..bf30a1e
--- /dev/null
+++ b/client/tests/unit/test_narration_book.gd.uid
@@ -0,0 +1 @@
+uid://dj6ly2ljf3ai4