Here's what I know so far...

The order and locations are described by
>! notes in Saradon's Workshop.

Word locations:
>! **First:** Grey Crypt, location unknown (word is SHIELD)  
>! **Second:** Maze of Dread, location unknown (word is MALLET)  
>! **Third:** Fanskar's Castle, N20 E21, "To the worthy I reveal, a dream to mend, a dream to HEAL."  
>! **Fourth:** Oscon's Fortress, level 2, N16 E19, "Sword or mace or axe or pike, dream a dream to gain a STRIKE."  
>! **Fifth:** Dargoth's Tower, location unknown (word is DISRUPT)