A southwestern bay where the empire's attempted shipbuilding efforts have repeatedly failed. Xynoth needs a navy to break free of his geographic containment, and Lutuya Sound has the deep water and sheltered anchorage to support one. The problem is the hags.
Every shipyard established in Lutuya Sound has been sabotaged, burned, or simply emptied of workers who vanished in the night. The hags apparently prefer their hunting grounds undisturbed by imperial naval traffic. Xynoth could force the issue—commit real resources to clearing Hagswood—but so far he's chosen to focus elsewhere. The standoff continues.