
The Ruby Weapon can be found in the Corel Desert (where the Gold Saucer is), after you destroy the Ultima Weapon in Disc 2.
I recommend you leave Emerald and Ruby until the last possible minute in Disc 3, because your party members will have greater powers.
I also recommend that you defeat Ruby first.
You get 50,000 AP for defeating Ruby, so you need to take this opportunity to take your Materia up to Master level. For this I recommend :-
In order to defeat Ruby you must have the following Materia :-
Choose the placement of your Materia carefully. Make sure you place Materia that has less AP than others in the Triple or Double growth weapons.
After you have equiped the essential Materia, fill up the rest of the slots with any other Materia that needs to be taken up to Master Level. As you receive Magic, Command, and Summon Master Materia for defeating Emerald, I recommend equiping as many Command Materia Orbs as possible.
If my tactic is to work you must not equip any type of Counter Attack.
Remember, this is only my prefered way of doing things, there are many other ways to do this.
Ruby cannot be harmed until she has used an attack that removes two of your characters from the battle. To get around this enter the battle with two of your characters already dead (but not the one who has Phoenix).
This will cause Ruby to stick her Claws into the sand straight away, when this happens, cast Phoenix to bring your other two characters back to life, then proceed with the following...
Keep on repeating the Mime Command (it takes about 30 Minutes to kill Ruby).
If Ruby kills your characters, the person who has Final Attack linked to Phoenix will bring all your characters back to life.
If this happens, just repeat the above instructions again.
