The Lady of the Lake is a powerful sorceress and guardian and bestower of Excalibur. She is located on a peninsula in the lake southeast of Taverley. She plays a minor role in the Merlin's Crystal quest by giving the player Excalibur after the player passes her test.
If you lose your Excalibur, you can visit her and pay 500 coins for another one. She says that it will help her save up for a new dress.
- The Lady of the Lake is the solution to the easy cryptic clue: Speak to the Lady of the Lake.
- In Celtic mythology, The Lady of the Lake is the woman who reached out of the water to catch Excalibur when it was thrown into the Lake, by Bedivere, when Arthur was dying. She is also the person who originally gave it to him. Due to this, it can be assumed that the Lady of the Lake may have close ties with King Arthur. Also, on top of all of that, she is the mother of Sir Lancelot in the stories and sends him to King Arthur for his training. If players do not give bread to the Beggar, the Lady of the Lake will not think they are worthy to have Excalibur.