OK, WTF cant I find this spiders nest in Dragonspire that the manual refers to? Been looking around this blasted place for over an hour now and cant seem to find it. I have come across a chest with 2 spiders on either side and a charred body covered in webs but no spider queen or room filed with spiders.

Any help out there?

keep poking around, if those spiders you found was a trap from two sides and cheast in front. there are about 5 or 6 other cheast s to loot and some you have to fight for.

It sounds like you are in spider nest part one, not spider nest part 2 (ie the one with the crystal). Do you have the other crystals. If so you will have killed the Colanth for its eye - there is another exit from that water cave further north - stay on the surface, you don't need to swim. That exit leads to a lava jumping puzzle, beyond which is that spider nest you seek. Happy hunting.