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Background
The blacksmith's wife (#1) will give you this quest if you ask her about work.
Walkthrough
The blacksmith's wife will tell you that her husband somehow found a succubus, and that the two of them spend a lot of time "frolicking" at night. She'll then ask you to bring her nine handfuls of
Shimmering Dust, which will allow her to drive the succubus off.
When you leave the blacksmith's house, the blacksmith will come up to you with a counteroffer. He'll tell you that he has his own folk spell for succubi. If you can bring him nine handfuls of
Shadow Dust, then he'll be able to put the succubus to sleep for a while and trick his wife into thinking that it is gone.
Note: It doesn't matter if you agree to the blacksmith's proposal or not. He won't get mad at you if you refuse, and you'll be able to change your mind either way.
You'll find
Shimmering Dust on noonwraiths, which you'll encounter in the
Fields during the day. You'll find
Shadow Dust on devourers, which you'll encounter in the
Fields and in
Murky Waters (south of the village) at night.
If you decide to help the wife, then she'll reward you with the book
Plants of Barren Lands. If you decide to help the blacksmith, then he'll let you choose between two rewards: a
Red Meteorite or 500 orens. Regardless of who you help, you'll also receive 8000 experience points.
1 - Blacksmith's House