Long lost memories:
Travel to east of the cabin to a cave of zombies, etc. The ground around the cave is purple and brown, corrupted,as mentioned by Lleglaris.
On getting back the Amulet, you get a thanks and offer to trade with him.
Go to Charwood cabin. Talk to Maevalia. She asks you to find four people.
After talking to the guard outside their cabin about talking to Maevalia, he allows you to go to Charwood.
Before climbing the hills to Charwood, explore around for an Oegyth crystal.
While climbing to Charwood, you encounter a monster speaking of some Thukuzun.
In the town, explore all cabins, to find tied people, or those who have been killed.
Return to the Charwood cabin for thanks and a further quest by Maevallia.
Completing that, Maelavia thanks again, and asks to talk to the weapons master and the armorer, who teach 1 new skill each as thanks.
Then you talk to Maelavia, and get the quest of exploring deeper into the Charwood mine.
While fighting the monsters, the air keeps getting hotter while you go deeper.
After crossing lava filled areas, you finally encounter a dragon, which needs to be eliminated. The dragon is the Thukuzun. After eliminating it, take its bone to Maelavia.