The quest triggers once you have completed the Durgan's Battery quest so as to have set foot in the Great Hall for the first time.
At #27 on the Great Hall map is a door that's barred by the spirit of Armswarden Marunn. You can choose to attack, in which case you'll have to fight a Fragment of Marunn along with a few Bitter Spirits and some Wraiths. The only loot will be a few Spirit Residues.
You can also attempt to deceive your way past the door. Note that Marunn deeply resents Zoltun, so dropping his name will lead to a fight. One lie that works is to mention the Leaden Key, and then suggest that have covert business going on with Zoltun. That way increases Deceptive disposition.
Another way is to make a Resolve check of 12 and indicate that Exandru is waiting for your party. After that, suggesting that you're here to worship Abydon is the only way to avoid a fight. Any other lie will lead to a battle.
The stairs leading down will be at #28 on the map.
There is plenty to explore and do in the Mines. What is essential is to start with the workshop, the door to which is at #4 on the Mines map. You either need a very good Mechanics skill, or the Workshop Key at #19, to open the door. Note that taking the Workshop Key will result in at least a couple of tough fights in the northern portion of the Mines, with numerous undead spirits attacking you in each battle.
The item that you need from the workshop is the Stone Dial, which is on a table at #6 on the Mines map.
You need to use the Stone Dial to open the door at #37 on the Mines map. The process of opening the door itself involves a scripted interaction. The clues for the scripted interaction are on the runes that surround the door on either side and can be clicked on so as to be read. The clues are:
"To seek the White Forge in the north"
"Reached Old Valia in the west"
"A cold wind from the south"
"And bore our parents each"
The sequence is revealed by piecing the clues together into a complete sentence: "A cold wind from the south reached Old Valia in the west and bore our parents each to seek the White Forge in the north." The proper sequence for the scripted interaction is therefore:
The Adra Spheres can be found in the trapped chest at #13 on the Foundry map, and the chest at #22 on the Foundry map.
The Adra Disc can be found on the altar at #17 on the Foundry map.
The White Forge itself is at #35 on the Foundry map. You can insert both Adra Spheres and the Adra Disc into it during a scripted interaction. Doing so will cause several Battery Defenders to attack, led by the Fragment of Exandru, the Fragment of Marunn, and the Fragment of Zoltun. Take out Zoltun, since he's the lone spellcaster, and the fight will become significantly easier. Also, position your tanks in a circle around your squishier characters, since the enemies will come in from all sides and are capable of significant damage with each hit. If you succeed, you can loot numerous instances of the following items:
Once you've re-activated the White Forge and defeated the Forge Guardians, you can click on this large Adra cone at #37 on the Foundry map. That will prompt an extended dialogue with the spirits of Exandru, Marunn and Zoltun. Benevolent, Cruel, Clever, Diplomatic, Passionate, Stoic and Rational responses are possible at various points during the conversation. Lore checks of 5, Intellect checks of 16, and the Clergyman and Drifter backgrounds, can also help reveal additional details during the conversation.
The conversation ends with three possible choices:
Free the spirits to rejoin with the Great Wheel and become subject to new lives through reincarnation
Bind the spirits to the cannons of the Battery
Bind the spirits to the White Forge itself
Once you've made your choice, you can click on the Adra cone to have the White Forge meld Durgan Iron Ingots together into a Refined Durgan Iron Ingot. If you freed the spirits of the Battery, or bound them to the cannon, then it takes four Durgan Iron Ingots to craft a Refined Durgan Iron Ingot. If you bound the spirits of the Battery to the White Forge itself, then it only takes three Durgan Iron Ingots to craft a Refined Durgan Iron Ingot. Note that there are no disposition consequences for any choice you make, so binding the spirits to the Forge is the only choice that makes any practical sense.
Refined Durgan Iron Ingots can be used to enhance armors, weapons and shields. The benefits are as follows:
Weapons - +15% Attack Speed, +0.3 Critical Modifier, 20% of Hits converted to Critical Hits. *Note* Two-handed weapons require two Refined Durgan Iron Ingots for the upgrade.
Armors - 15% of incoming Critical Hits converted to Hits, -15% Armor Speed Penalty
Shields - 10% of ranged attacks reflected back at attacker, 15% of incoming Hits converted to Grazes, -15% single weapon Speed Penalty
The quest concludes with the restoration of the White Forge. Even so, you can get a reward by seeing Renengild in her house, which is at #24 on the Stalwart Village map. She'll give you two Diamonds, a Sapphire and a Topaz. You also gain a major reputation boost with Stalwart Village.
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"Hmph. Being around this group too long is sort of like having the Calimshite itch, isn't it? Except for the uncomfortable burning sensation. And the rash. But still." -Jan Jansen, Baldur's Gate II