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|Travel to the Isle of N'Gasta and confront N'Gasta.
 Quick Walkthrough
- Return to the Isle of N'Gasta and enter the Necromancer's Lair.
- Defeat the two demons inside the entrance and pick up the glass vial in the west room.
- Fill the vial with the yellow liquid in the cauldron.
- Pour the potion into the purple pit.
- Jump into the pit and be blasted onto the walkway.
- Confront N'Gasta at the top and defeat using the flask.
- Cast the spell to create a portal to Clavicus Vile.
- Confront Clavicus and wager your soul for the soul of Iszara.
- Choose the right door and enjoy the cutscene that follows.
- Continue on with retrieving the soulgem in the catacombs.
 Detailed Walkthrough
 Necromancer's Lair
- Return to the Isle of N'Gasta and enter his tower. Just inside are two tough demons ready to rip you apart. You may wish to use a strength and ironskin potion here to aid you. A good strategy is to run to the left up the stairs. One demon follows and the other is left below, allowing you to take them on one at a time. You can't defend against their attacks so just hack and slash. They take 5-7 hits or so.
- Another technique to deal with those two is as follows. Run into the cauldron room without stopping. With any luck, they should just jump straight in to the pit, saving you the trouble of having to fight them. Obviously, however, you won't get any experience from them, so if you're a grinding freak, you may want to ignore this technique.
 Reaching the Path
- The path to reach N'Gasta is the spiral route up to the top. Unfortunately, the path has been destroyed and there is no visible means to reach it. Enter the room on the west and grab the glass vial on the shelf. Fill it with the yellow liquid sitting in the cauldron there. Enter the main room and stand in front of the purple pit facing the part of the path you wish to reach (should be facing southwest or so). Pour the liquid into the pit and a short cutscene will play. As soon as it finishes, jump into the pit. If you time it right, the explosion should blow you onto the pathway. It would be a good time to save before you try this since it's a bit tricky to get the jump timed just right. Also, touching the purple stuff in the pit will kill you instantly. If you want to keep playing with the explosion, or want to harness it but time it wrong, don't worry as neither the potion in the cauldron or the explosion ever run out.
- At the very top you'll find the body of Iszara and the necromancer waiting for you. After a lengthy conversation with N'Gasta, he will attack you. Ready the flask of Lillandril as your current item and use it. You should go into a half-kneeling position. You are now invulnerable to his spell attacks, as long as you aren't turned too far away from him. After a while, you will start absorbing and firing back the incoming spells. Make sure you always face N'Gasta, which is difficult because he teleports around after each attack. After a few hits he should cease to be.
- The book in N'Gasta's tower reads as;
|THE TIME IS NOW
THE CURSE IS SPOKEN
ARISE DEMON AND
BE NAMED VENGEANCE
 Reaching Clavicus Vile
- During your conversation with the late N'Gasta, he will have mentioned that Clavicus Vile is presently in possession of your sister's soul. Now all you must do is cast a spell to reach him ... fortunately, the necromancer's lab is well stocked with the appropriate ingredients. Note that if you visited the destroyed cabin southwest of town you will already have some of the required ingredients, but if you don't, there are some here to use. There is a spell book there that cryptically tells you what to do. It has been noted by some users that it is difficult to read in the 3DFX version again. The solution follows;
- Jacinth and Rising Sun: Mix the Orc's Blood and the Amber
- Snow Blankets the Grass: Unicorn Horn and Hist Sap
- Night and Mid-Day Sky: Daedra's Heart and Ectoplasm
- Once you've mixed the three, pour them onto the symbol in the center of the room in that order. A portal should be created when you are successful. Enter the portal to visit Clavicus Vile.
 Clavicus Vile
- Talk to Clavicus and watch the strange dog, the only things in the area. You may need to offer up the flask as a gift. Eventually you come to the point of trying to buy Iszara's soul. The only successful offer is your own soul. Make the deal to gamble your soul for Iszara's in an all-or-nothing game. Vile will challenge you to solve the famous "Gatekeeper" riddle - two gates, each with a guard, one of whom is truthful and one of whom is a liar. You do not know which one is which, who tells the truth, and who is the snitch? You may ask one question of each guard, and then choose. You must ask both the right question, and choose the correct door, otherwise both doors will lead to death. The correct question to ask is: Which door would the other say is correct? If you ask the truthful one, he will point to the wrong door since the untruthful would lie. Similarly, if you asked the untruthful one he would also point to the wrong door since he would lie about what the truthful one would point to. Thus, the correct door is the one neither will point to. If you chose wrong, you lose the game, and both Iszara's soul and your own are forfeit, so save beforehand just in case you mess up.
- You now see a nice cutscene of restoring Iszara's soul among others. You learn from N'Gasta that Lord Richton now has the Soul gem of Prince A'tor, the amulet you delivered previously. Your task is to find the soul gem and get rid of that pesky dragon.