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Dun Gruznok was an underground dwarven town, that fell to a goblin attack. Blood Arc pulled it to the surface, using his powerful magic, and it was then used as defensive stand against a demon attack.

It was surrounded by a wall, with two gates in it, a keep and a runepowered magical tower, shooting flames at enemies of Dun Gruznok. The symbol of the town depicted an axe. The Rock-men were created in Dun Gruznok.