The hobbit Rhus Cornchúthur was surprised by your appearance, believing you to be a legendary creature called a Stone-eater.
'A Stone-eater! Our Lûth-fathers told how they had seen your kind long ago in the mountains, but I never would have believed it if I didn't see ye now! Stone-eaters have always been a thing of legend to us.
'What? Ye say ye are not a Stone-eater? Ye call yourself a dwarf? I have not heard of the like. No matter... we've naught to do with the likes of ye.
'Well, I won't say we won't have naught to do with ye... if ye can prove your faith with us. Some of our hunters say that have seen an evil Cun Annun howling atop a plateau to the north-east of here at night. Enaid-helgi, we call it. If ye will slay the beast, Maer Brochtû might give ye a fair hearing.'
Enaid-helgi appears at night upon a plateau to the north-east of Rhus Cornchúthur.
Rhus Cornchúthur suggested that the mayor of his people might speak with you if you were to prove yourself to him. Slaying the demon-dog Enaid-helgi would go a long way towards that goal.
Rhus Cornchúthur awaits your return south-west of Enaid-helgi's hunting ground.
You should return to Rhus Cornchúthur with news of your victory.