The personal quest of Durance begins the moment you let him join your party. He can be found at #8 at Magran's Fork. He'll indicate that he wants to spend time with you, which is itself a hint as to how to progress the quest.
The next step in the quest is to speak with him multiple times and exhaust all possible dialogue options with him. He will, after a while during each dialogue option you prompt with him, grow tired of the conversation and break it off. All you need to do after each instance is rest up and prompt another dialogue with him. So what is involved is resting up and speaking to him multiple times to explore every possible dialogue branch with him. His fiery staff, Magran his patron goddess, St. Waidwen's War, and the Godhammer in particular are important subjects that you need to explore with him during the dialogues. These conversations ideally should occur while you are still in Act 1.
After that, you need to camp outdoors twice with Durance being in the party each time during Act 2. After the second camping out, you'll see a vision of Durance with his fiery staff.
You can speak to Durance again at that point. He will explain that he and 11 other Priests of Magran had constructed the Godshammer to destroy St. Waidwen, and possibly the god Eothas as well. He'll let on that he and the others perhaps exceeded Magran's instructions by making the weapon potent enough to destroy St. Waiden's soul, thereby damaging their relationship with their goddess.
At some point he muses that his actions might in some way be tied to the current Hollowborn crisis. You can then make Clever, Honest, Passionate, Rational or Stoic replies to his wondering.
He'll be reluctant to take the conversation much further after that point.
The next conversation won't be until you take a certain number of Rests during Act III. During the second or third Rest, you'll have a vision whereby the symbolic rings of fire on Durance's staff all die down, except for one. The vision will also suggest that Magran desires Durance's death. The 11 rings that go out symbolize the other 11 Priests who helped create the Godhammer and have now been killed by Magran, with the still-burning ring of fire symbolizing Durance.
When you wake, click on Durance's portrait to speak to him about the vision. He'll be in denial and put up a brave face during the dialogue. Clever, Deceptive, Honest and Rational dialogue options become available.
Durance will want to speak to you. The dialogue will involve convincing him that Magran has killed the other 11 priests who crafted the Godhammer, and that she wants him dead. He'll be skeptical, but you can drive the point home that he appeared blurry in your visions, and that means that Magran is unable to zero in on him so as to kill him. Durance will have a crisis of faith to put it mildly, and one which marks the conclusion of the quest.
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