Gandalf was given a residence within the Lonely Mountain and plans to retire there to study while you help the Gem-cutters with their day-to-day work.
'King Thorin has given to me a room in the Dwelling-halls of Erebor, and I will retire there to think upon what we have discovered. The efforts of the Gúrzyul to increase their power in the wake of Sauron's passing are of interest to me, particularly those of Karazgar here in the north. Durin's Folk have provided me with several leads to study, and I shall follow each of them as far as I am able.
'Such courses of study are lonely pastimes, but they are rarely fruitless. I will see you when I have learned what I may, but while I am so engaged I suggest you familiarize yourself with Erebor and its people. Perhaps you can lend some assistance to Authi Gem-cutter and his family? I am certain they would welcome your company, and will not mind showing you around.
'I believe you will find Authi's home in the Dwelling-halls, located south of the Hall Under the Mountain and to the west.'
The home of Authi Gem-cutter and his family can be found in the south-western corner of the Dwelling-halls of Erebor.
Authi Gem-cutter is in the Jewelstead, the Gem-cutter family home in the Dwelling-halls of Erebor.
Mother Amma is in the Jewelstead, the Gem-cutter family home in the Dwelling-halls of Erebor.
Authi Gem-cutter is in the Jewelstead, the Gem-cutter family home in the Dwelling-halls of Erebor.
The entrance to the New-lodes of Narathâk is located east of the Dwelling-halls, beyond the passage that runs from the entryway to the Hall Under the Mountain.
Authi Gem-cutter's brother Gráfar is in the New-lodes of Narathâk.
The New-lodes of Narathâk are crawling with cave-claws and other pests, and Authi's brother Gráfar asked you to help make the mine safe for the miners by thinning out some of the vermin.
Authi's brother Gráfar Splitstone has asked you to carry a crate of precious stones back to Mother Amma in the Jewelstead. The Gem-cutter family home is located in the south-west corner of the Dwelling-halls.
Mother Amma has asked you to pick up the finely-crafted necklace and deliver it to Erfith, the customer who requested it. Erfith can be found on the west side of the Dwelling-halls of Erebor, on one of the lower levels.
Erfith the Quarrelsome is on the west side of the Dwelling-halls of Erebor, east of the Jewelstead and down the stairs.
Authi Gem-cutter is in the Jewelstead, the Gem-cutter family home in the Dwelling-halls of Erebor.