This level is extremely easy if you can defeat the enemies easily. You aren't required to find any items in this level, so if you chose, you could simply run through this level using this map until you reach the end. I wouldn't recommend that though, because this level does have some things you might like to have. The ladder to lvl. 4 will take you to a secret area where you will find several different scrolls. There is a Dwarf Camp in this level, where you can buy items, sell items, recruit Sweet Rose on your team, etc... Take special note of teleport 2 in this level. You will use it later in the game and it will be important.
The enemies in this level aren't that difficult. Skeletons and zombies return, and the goblins are phased out. The blue spiders that cast the annoying Spider Web are also here, along with new black spiders that can't use Spider Web but can do some damage. There is no "boss" in this level.