The story takes place in a city of Italy where is a big celebration. In the celebration Montresor told Fortunato that he had a barrel of Amontillado in his house, so they went to Montresor's house to see the wine. Once in the house they went down to the basement where "was" the wine. The basement was a long reserve of wine which was also the grave of the Montresor family (there were bones everywhere!).