The badge is at the end of a high ledge overlooking the Witch's House on the northwest side - the ledge is best reached from the west - travel to the limit of the forest on the north side and head east until a small jump is needed to attain a ledge.
Head along the ledge until it overlooks the path from the Witch's hut to Seabreeze Trail - the badge is on the ground near to the edge.
Pick up the badge to complete the quest.
The ledge leading to the main ledge
thumb|320px|Visual location. The badge in the photo has been enlarged and enhanced to better depict its location.