Icewind Dale II takes place in the Forgotten Realms D&D campaign setting, on the continent of Faerûn. It centers on the northern Icewind Dale region, and is set thirty years after the original game. The game begins in the harbor town of Targos, one of the Ten Towns of Icewind Dale, which is under siege by a goblin army. The goblins are directed by the Legion of the Chimera, an army composed of outcast races and religious factions, such as goblinoids, half-breeds, and followers of winter goddess Auril. Targos hires mercenaries to defend against the attack. Areas encountered in the game include: the Black Raven Monastery, built over an entrance to the Underdark; the town of Kuldahar, constructed around a magical tree that emits heat; the Severed Hand, an ancient elven fortress that was lost during a war with goblinoids; and the Dragon's Eye, a network of volcanic caverns inhabited by yuan-ti. Other areas include the Underdark and the Jungles of Chult.
