I've seen one in Lesser Faydark. It seems to follow the same path as the psycho Equestrielle the Corrupted SK horse. It is likely a place holder for the horse. Considering that I'd rather not have the horse around, I left it alone. I didn't see both the horse and the mist wolf at the same time, so I think I am correct. So if you want to occupy LFay without fear of the horse, leave the wolf alone if its there.
Edited, May 19th 2009 5:15pm by Darkmauler