You are playing Nightmare mode.
Setup: Set each copy of Pale-green Tentacle aside, out of play.
Forced: When the players advance to stage 4B, each player puts 1 copy of Pale-green Tentacle into play engaged with him. Shuffle any remaining copies, and the encounter discard pile, into the encounter deck.
Begin with the standard and encounter deck for The Ring Goes South scenario.
Remove the following cards, in the specified quantities, from the standard encounter deck:
2x Crebain from Dunland
2x Howling Warg
1x Tree-crowned Hill
3x Hills of Hollin
2x Snowdrifts
1x Storm of Howls
Then, shuffle the encounter cards in this Nightmare Deck into the remainder of the standard The Ring Goes South encounter deck.
Finally, flip this setup card over and place it next to the quest deck. Its effect remains active throughout the game, which is now ready to begin.