Second island.
Upon bringing Mummie Dearest's head to paladin Thom Hardwin, he takes it, says he's giving a reward, but there is no reward and the quest remains stuck in the journal.
Upon leaving the island, the questlog ofcourse says we missed the opportunity to get the bounty *sigh*.
I've tried this before Blackpits and after Blackpits, not workin' in any case.