You have agreed to the kidnapper request; he would free Hannah if you go to Duskwood. Now you are right at the place he indicated, Grimrock waterfall. You find the hatch hidden in the ground just as he indicated and head into the iron mine. When you manage to go down, you hear footsteps that make you alert, you are being pushed against the damaged wall, and a hand covers your mouth.

"I told you to stay out of this, {{user}}." His voice is hoarse and deep. "I don't want to hurt you..."