The quest begins when you speak to Fyrga, who is at #3 in the Ducal Palace. A Rational response, and a Clever response that requires a Perception check of 13 are available at the outset of the conversation. She explains that she is in distress because she can no longer keep the sacred fires of her goddess, Magran, burning in her temple. Stoic or Passionate replies then become available. If Durance is in the party then he won't make any bones about his opinion that Fyrga is unworthy of Magran.
She then explains that Magran shows her visions of a fiery cave with steaming vapors, but she does not know where to find it.
The Searing Falls will have a LOT of Xuarips, as well as several Lesser Flame Blights and a few Young Drakes or Drakes. All of these creatures patrol the area, so avoiding combat is difficult short of everyone having very good Stealth scores that will let them simply slip by unnoticed while in scouting mode. My advice is to try and deal with them piecemeal, a few at a time. Inch along and let the odd one or two come at you. Save when you've finished the battle. Battling several Drakes and several Xuarips all at once, which is entirely possible, should be avoided, even if it means reloading your savegame.
Once inside, you will need to battle several more Xuarips and Flame Blights. You'll need to make your way to #5 on the Searing Falls Cave map. Here you'll have to fight the Fire Dragon named Cail the Silent. It does not matter which dialogue options you choose, all will lead to a battle, although one of them can lead to an increase in Clever disposition. He'll be helped out by several Xuarip, a couple of Flame Blights, and a couple of Young Drakes.
Suffice to say that your chief danger is Burning damage from multiple sources round after round, whether it's the fiery breath of Cail and the Drakes, the explosions of the Blights when they die, or the spells from the Xuarip Priests. This battle will be significantly easier if you take measures to increase your Burning Damage Reduction. Examples include the Wurm's Nest resting option in the Dracogen Inn, or using Potions of Bulwark Against the Elements.
Cail the Silent will leave behind a Drake Talon and the Burning Stone. The latter item is the item that Fyrga seeks.
Not really a quest reward as such, but there will be a hidden cache at #8 , which can only be detected by a character with at least 10 ranks in the Mechanics skill and while in scouting mode. If you find it, it has a Great Sword called Tidefall.
Now it's a matter of bringing the Burning Stone to Fyrga. A Clever option is available when you first speak to her again. There will also be four dialogue options available when she is at awe over being in possession of the Stone. The first and third dialogue options will win an extraordinary increase in reputation with Defiance Bay. The second and fourth options will result in a moderate gain of negative reputation with Defiance Bay.
In any event, she will also reward the party with a Flail called Unforgiven.
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