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Thanks! The idea is that the owl imagines multiple monsters (a giant, a dragon etc) and bat has to overcome those monsters in a minigame and find out that there were no monsters but harmless explanations.

Within the 1 week time limit I only managed to implement the first 'monster' (the windmill).

How do I get to the first monster then? I got stuck at the dialog with the Owl

After the dialogue with Owly, click on "leave". Then you're back in the forest and you fly straight and then to the right. There's the 'monster'