Your mission from the council is to “deal with” the nomads to ensure that they don’t join the Boss. There are two ways to approach this quest the evil/straight forward one is to walk into the camp and fight all the nomads you see until you are finally challenged by the headman. Defeating him earns you 5000 gold pieces, bracers of AC 2, a wand of magic missiles, and scale mail +2.
The “good” way to handle the quest is to ally with the nomads by helping them defeat the a kobold army as outlined below:
1. Trip Wire Zone: Once you enter this zone trip wires with alarms will go off and the nomads will come and meet you in force. If you parley with them they will invite you to be the guest of honour at a feast planned for that night. During the feast the nomad chief will share information and ask that you stay in the village to help out against an upcoming kobold attack.
2. Your Hut: This is the hut you are given to rest in before and after the feast. Stay here until the battle against the kobolds starts then help the nomads in all three battles to obtain a reward of 8000 gold, Two-Handed Sword +2, and a Wand of Magic Missiles. Return to the council to receive a further reward for allying with the nomads.