Trolls of the Lone-lands and the discovery of Orcrist, Glamdring and Sting
Company of Thorin, Bilbo and Gandalf crossed the lone-lands that was located near the border of Arnor or Rhudaur where trolls that survived the Angmar war lived.
Bilbo and Company discovered a fire and sent Bilbo to scout where Bilbo tried to steal some of the trolls’ money and the stone trolls Bert, Tom and Bill captured Bilbo.
The rest of Thorin’s company was also captured by the trolls but Gandalf mimicked the voices of the troll that made the trolls argue until daylight. The trolls turned into stone while they couldn’t stop arguing and the dwarves and Bilbo were freed.
The party found the old elf swords forged from Gondolin in the caves of the trolls called Orcrist, Glamdring and a sword that was nameless but shall be called Sting.
Thorin and Company, Bilbo and Gandalf’s visit to Rivendell
Thorin’s party headed to Rivendell as they needed advice from Elrond to interpret the ancient dwarf language the Moon language that was marked on the secret map of Thror’s Map. Gandalf gave the map of Thror, the grandfather of Thorin Oakensheild.
Gandalf obtained Thror’s Map from Thrain II when Thrain II was discovered kidnapped at Dol Guldur by Suaron and gave it to Thorin Oakenshield.
Elrond interpreted the Moon runes for Thorin and company that gave them the hint to open the secret back door of Erebor. Elrond also identified Thorin’s new sword Orcrist the Goblin-Cleaver and Gandalf’s sword Glamdring the Foe-Hammer.
“five feet high the door and three may walk abreas. Stand by the grey stone when the thrush knocks, and the setting sun with the last light of Durin's Day will shine upon the keyhole. “
Goblin Town and Gollum
Thorin and Company with Bilbo and Gandalf took the High Pass of the Misty Mountains, however they were captured by goblins and brought to Goblin Town hidden deep inside the Misty Mountains.
The ruler of Goblin Town the Great Goblin recognized Thorin’s sword the Orcrist and was enraged and tried to execute all the dwarves and Bilbo.
By the help of Gandalf, the dwarves and Bilbo were released, and the Great Goblin was slayed. However Bilbo fell from the cliffs in the cave during the escape.
*In the Legendarium, there isn’t a very distinctive definition of goblins and orcs, thus orcs and goblins could be considered the same.
Bilbo and Gollum’s riddle
Bilbo Baggins eventually fell near the hiding of Gollum where Bilbo Baggins discovered a golden ring. Bilbo Baggins would put the ring into his pocket and he eventually met Smeagol or Gollum.
Gollum recognized and feared the dagger of Bilbo yet Gollum intended to cannibalize Bilbo. Gollum suggested a riddle standoff where Bilbo could pass safely if Bilbo won while if Gollum won, Bilbo would have to become Gollum’s supper.
Bilbo Baggin won the riddle contest as he was merely curious of what the golden ring, he picked up was while Gollum thought it was a riddle.
Gollum tried to use the One Ring to turn invisible and feed on Bilbo anyways but realized that the One Ring went missing. Gollum attacked Bilbo and Bilbo put on the One Ring and turned invisible and successfully escaped from Gollum.
Bilbo’s compassion on Gollum
Gollum or Smeagol was furious with Bilbo Baggins for stealing his “Precious”. Bilbo Baggins had an opportunity to strike on Gollum, however Bilbo Baggins felt sympathy towards Gollum and didn’t take the final strike onto Gollum.
After hearing Bilbo Baggin’s story of Gollum, Gandalf would later comment that the little compassion of Bilbo Baggins may have cause a great result in the future.
Bilbo Baggins letting Gollum survive would later lead to Gollum or Smeagol taking the Ringbearer Frodo and Samwise to the slopes of Mount Doom or Orodruin and the destruction of the One Ring.
The compassion of Bilbo Baggins was a core example of Gandalf’s core belief that the little good deeds of life would eventually save humanity from evil.
This was also the core thesis of the whole story of the Lord of the Rings that the small, good deeds of life are the essence for the grace of humanity.
Gandalf’s awareness of Bilbo Baggin’s Magic ring and Gollum
Thorin and company were surprised by Bilbo Baggins’ return where Bilbo Baggins had to explain about the ‘magic ring’ that he has obtained and the stories of the riddle battle with Gollum.
Although Bilbo Baggins didn’t reveal as much information as possible about the Golden Ring he had obtained, Gandalf assumed that Bilbo Baggins may have obtained one of the rings of power that were missing.
Still, Gandalf would keep in mind the stories of this mysterious halfling creature Gollum and Bilbo Baggin’s possession of a magic ring.
Gandalf didn’t know that the ring that both Gollum and Bilbo Baggins had in hands was the One Ring of Sauron.
Escape with the help of the Eagles
Still, Thorin and Company with Bilbo Baggins and Gandalf were on the run by the orcs(goblins) and even the wargs of the Mysty Mountains pursuit them.
The Great Eagles that were nesting in the Misty Mountains spotted Gandalf who treated and healed the eagles a long time ago and rescued Gandalf and Thorin’s party.
The eagles even carried the party to Carrock located at the east of the Misty Mountains. Carrock was near the skinchanger Beorn’s house.
*In the movie Azog was still alive but Azog was already slayed during the War of the Dwarves and Orcs by Dain Ironfoot.
Beorn the skinchanger and parting of Gandalf.
Beorn was a skinchanger that was a human that could transform into other creatures by their own will. Beorn long time ago knew of Gandalf as Beorn was a friend of Radagast, yet the dwarves and Bilbo had to politely ask for the assistance of Beorn for their quest to Erebor.
Beorn would accept their asking of favor and would provide his ponies, weapons and food for Thorin and company’s quest for Erebor.
Thorin and Company with Bilbo and Gandalf arrived at the gates of Mirkwood and they’ve returned the ponies back to Beorn as they’ve noticed a bear was following them.
Gandalf would give instructions to the dwarves and Bilbo to stay on the track of the Mirkwoods while he would head to Rivendell.
During the journey with Thorin Oakenshield, Gandalf has noticed the immensely large colony of the goblins in the Misty Mountains, Bilbo Baggins obtaining a ring of power which Gandalf didn’t know it was the One Ring, unusual activities of the orcs and wargs and the darkness of Mirkwood.
Gandalf would return to Rivendell to assemble the White Council once again as he feared that Sauron in Dol Guldur has recovered too much power.
Gandalf would urge the White Council to commence an attack on Dol Guldur while he sent Thorin and the party ahead.
*Beorn didn’t randomly shift his form and there were many more skinchangers that were alive unlike the movie described.