Set out in the morning to find a point to cross the stream. It did not take long after less then an hour a crossing point was found. Trees were quite sparce on the far side of the stream. The party crossed over without incident. Headed down stream with the intention of heading north was once the main river was regained. Made good progress, the area appeared desserted. On reaching the Mitheithel turned north until night fall.

Darion and Lotho went hunting but returned empty handed, all settled down for the night. Eonan produced a waterskin of mead and proceded to make considerable inroads into it. Darion and Thorin also had a cup or two. Watch system broke down due to drunkness however around second watch a figure could be seen wandering some distance from the camp. On closer inspection the figure appeared to be glowing and the ends of its limbs seemed to fade in and out of existance.

This Ghost caused quit a stir, in particular Eonan being stupified by mead decided to amble towards the figure. Darion quickly stopped him and drew back towards the river. Darion tried to speak to him however received no reaction to his words. The figure is wearing ancient armour possible of Dunedain origin. He wandered almost randomly but continued to get closer to the camp. As the party moved back to the river bank the Ghost seemed to gather himself some what and quickly heads towards the group. The party scattered two going north, two south, (it should be noted that Dwalin did very little during this session almost as if he was not present). This action seemed to confuse the Ghost. He knelt at the river bank nad took a long drink. Again Darion tried to address the figure this time speaking in Adunaic, the ancient Dunedain tongue. This seemed to startle the Ghost who looked about then retreated back into the forest...

The rest of the night passed with little incident. At first light the party headed south-east, occasionally sending the halfling up a tree to scout out the way of the land. Little was seen and eventually the tributary was regined, close to the original crossing point. With the intention of recrossing the river the halfling was sent forward to scout. He soon returned informing all the a men was waiting at the ford.

This man turned out to be called Jade. He knew of the task and questioned the group on what had been learned. He then said that he believed the settlement was somewhat further to the east. He asked to join the party on an seek and loot expedition to the settlement. This seemed like a profitable option and was agreed upon. Dark was falling so camp was set with Jade taking the second watch. During Jade's watch the party were awakened by a cry from Thorin. Once out of their tents Darion, Eonan and Lotho could here footsteps running from the camp. Eonan also noted that some of his gear was missing. Thorin returned shortly to say that he had spotted Jade stealing Eonan's gear and had given pursuit. Jade had fled across the ford, Thorin not wishing to run into an ambush had broken off and returned to the camp. All decided that chasing Jade in the dark was too dangerous, but at first light the party would begin to track down the thief.

With the dawn the group set out for the ford paying close attention for tracks. Once over the ford Lotho picked up Jade's trail, it led south. The group followed with Lotho, Darion and Thorin all searching for tracks. In the thick woods and rocky ground it was hard to be certain, but the trail seemed to be turning slightly west towards the Mitheithel. Just then a Balrog dived out from under a bush, it ripped Lotho in half and while munching the hobbit's head turned to face the rest of the party. Presumably Jade turned south at the river bank, the group made ready to follow...