This item drops from in Dun Morogh.
As a quest objective Edit
Dirty troggs are so easy to fool. Their hatred for our kin makes it that much easier to direct them and use them as pawns. Amazes me that any kind of alliance could be forged at all, but our kin pose a much greater threat to their existence... at least for now.
After the attacks begin though, both sides are gonna be weakened and prone to our own onslaught. Take the homestead south of Helm's Bed Lake and await further instructions.
Ironforge will be ours.