Elemental Workshop I

Search the bookcase on the eastern wall to find a battered book.

Read the book, then right-click on the book and click "Cut-open" to get a battered key. Do not drop the book.

Go to the building with the anvil and click on the northern wall to open the odd-looking wall.

Go down the stairs.

Go into the room to the north.

(Red Indicator) Turn the water controls east of the water wheel to turn it green.

(Red Indicator) Turn the water controls west of the water wheel to turn it green

Pull the lever by the water wheel.

(Optional) To obtain leather, search the singular crate north-west of the hatch in the middle room.

Go to the eastern room.

With thread and leather, fix the bellows.

Pull the lever by the bellows.

Go to the western room and mine an elemental rock.

Kill the earth elemental and pick up the elemental ore it drops.

Go back to the middle room and search the small boxes north-east of the hatch to obtain a stone bowl.

Go to the south room.

Use the stone bowl on the lava trough to the south.

Use the bowl of lava on the furnace in the room.

Use the elemental ore and four coal on the furnace.

With the slashed book, go to the middle room and smith an elemental shield on an anvil workbench.

Quest complete!