Loki creates a new Asgard new Earth using bones, skin, and other things. Thor slays the Serpent of Ages and it forms the ground. Thor lays on the grass and as he does, animals start to appear - birds, squirrels, that type of thing, then later deer. Loki goes around the universe to wellsprings of power, soaking it up, and he 'births' the Asgardians et al in a temple Thor built (?). Thor takes them by the arm as they emerge and hands them a robe, clothing them, and gives them an apple to eat, and a dipper of cool water to drink, from a tree and rock spring he created with will alone.
As if Death Itself was Undone by glimmerglanger on AO3