Yeah, that was the Avatar of Bokrug (called “demon” in the video) right there, so apparently Molten Heart was possible to obtain in Exiled Lands.

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Not apparently. I got a few.

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I didn’t doubt you for the first time; I was however curious whether it had been dropped by something other than the Avatar.

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Not that I am aware. I got the Lloigor, Avatar of Bokrug and the Blood Moon Beast, but only the AoB dropped it.
The encounter always spawned when I went to Sepermeru. The natives were hostile towards the encounter npcs, but they didn’t stand a chance. It was very easy to aggro everything, too. It was a very fun event. The loot was very decent overall. You could get a full armor in one encounter. As I was starting a playthrough, this was very handy. It was a hard fight though, very much surge like.

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I remember when the sacrifice event was out the armor was the special item and the few furniture pieces, but when the magic update dropped all that stuff became craftable. so many a time wasted farming that & saving up sets of what i thought would be limited time armor

The kolten heart is nothing “special” as it burns faster than coal or oil. Kind of dumb. it should last 2 hours at minimum, otherwise seems to be something left from an idea or crafting table not used.

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