An order of powerful Netherese wizards takes up residence amid an unexcavated section of Melairbode, in what is now known as the third level of Undermountain. The name of the outpost is lost to time, though some scholars refer to it as the Sargauth Enclave. They begin experimenting on mantles, magical fields similar to elven mythals. »
A wizard of unknown ancestry calling himself Halaster Blackcloak later identified as the Raurinese wizard Hilather builds a tower (using summoned demons and other outsiders) and a fortified ramparts in the middle of the Deepwater Plateau, to the north and west of the burgeoning farms along the harbor shore in Waterdeep. The tower is called Halaster's Hold. He is accompanied by his apprentices (which included Arcturia). He begins exploration of the Underhalls of the Melairkyn and claims the delvings for himself.
Halaster discovers the remnants of the Sargauth Enclave, and recognizing the danger posed by the future Skulls of Skullport, retreats from their area and forbids his apprentices from investigating the area. »
The necromancer Shradin Mulophor takes up residence in the ruins of Sargauth Enclave (after asking permission from Halaster Blackcloak and also becoming his apprentice), establishing a small trading settlement that will soon becomes known as Skullport, Port of Shadows. The Lord of Bones, as Shradin comes to be known, encourages trade with other Underdark powers by linking the River Sargauth with subterranean waterways and creating portals leading to distant seas. »