Your mistake was thinking that the Dragon Knight was Damian's nemesis. The Divine is Damian's nemesis, the emotional core of the story is the conflict between Damian and the Divine. Damian is the villain, but there is no emotional link between Damian and the Dragon Knight like there is with Damian and the Divine.
Once it was clear that the Divine was still alive, it was obvious that it should be the Divine who must end Damian. You played Ego Draconis, and yet you were surprised that there is going to be a Divinity 3?
The nemesis of the Dragon Knight is Ygerna. She's the one who manipulated and tricked the Dragon Knight and locked him in a crystal prison. She's the one the Dragon Knight wanted revenge on more than Damian.
I am pretty sure that Damian isn't dead. He was alive when Ygerna was dead before, extra-powerful when she was resurrected, and I believe that he is now back to normalish now that she is once again dead.
1. This is a pretty fair criticism, one which I share. The dragon form is kinda a gimmick, you only use it for transportation. The only time there's a purpose to being a dragon beyond transportation is the final FoV mission.
2. FoV was an expansion, not a full game. There were ideas about making FoV have a larger zone, but that would have added months to the production time, or taken resources away form city development.
3. It feels like longer than 12 hours to me.
4. I disagree, because Damian is not the Dragon Knight's foe to defeat, Damian is the responsibility of the Divine. Ygerna is the enemy the Dragon Knight has the strong emotional connection to, not Damian.
The Dragon Knight already killed a lot of the high ranking BR generals in Ego Draconis. There's no point in attacking Orobas Fjords, that area has no more allied forces remaining.
