[ratchild]

In chapter 1, there is a smithy in the Core called the Shining Knight or something. You need to successfully persuade the frontman to give you a pass to the backroom. Then you talk to the guy back there, and he'll give you a book of recipies. To make an item, you place the appropriate items in the forge, and tell him to make it. In chapter two, there is a similar process in Eltoora's lab (the portal behind her) for mage type characters. In chap. 3, the fighter type forge guy is back, in the trading post building, and uses the same process as chap. 1, but with the same items, just upgraded.