This sequence involves swimming through a dark labyrinth. It's easy to get turned around and drown, so be sure to save the game before starting out.
Pull the underwater lever, which is on the left just below the surface when facing the Library doors. This opens a small door next to the lever. Swim through to the other side of the flooded room.
Take a deep breath, then swim down into the submerged stairway on the right.
Do an underwater roll to face in the direction you came from. (After rolling, you can see the windows above on the right.) Then swim forward into the maze.
Stay close to the bottom as you continue straight ahead through a second fairly large opening. Then veer to the left just a little and go through the small, rectangular opening near the floor.
When you emerge from that opening, head toward the far left corner of the room.
Here you'll find 2 pairs of grenades. Pick them up. Then turn right and swim straight across the room, keeping the wall on Lara's left.
SECRET #2, the Gold Dragon, is sitting on the floor in the corner. On the wall to the right is a lever that opens a trapdoor directly above.
Pull the lever and swim straight up the shaft to the surface.
Perhaps this is stating the obvious, but if you're running out of air before getting the grenades and dragon statuette, you can pull the lever first, get air, then swim back down and pick up the goodies.
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