Flosi, an elderly dwarf-prospector, lost his pick while digging in an old cave infested by cave-claws.
'Can you keep a secret? I was exploring an old cave over yonder, when I was attacked by one of those vicious cave-claws. In the fight, I accidentally left my pick-axe behind.
'Could you go and get my pick for me... and while you're at it, kill off a few of those cave-claws, so I can continue my digging in peace.
'The cave is to the south-east in the Winterheights. Hurry now! I think I was nearing a vein of gold when they drove me out!'
The cave is south-east of Thorin's Hall, in the Winterheights.
Certain that he was nearing a vein of gold before being driven out of the cave, Flosi asked you to retrieve his pick-axe, as well as clear some of the cave-claws from the cave.
Flosi is on the stairs in front of the main gate to Thorin's Hall.
You should return the pick-axe to Flosi and let the old prospector know it should be safe for him to return to the cave.