In one of the kickstarter videos a sheep was attacked (with a fireball IIRC), and since the death animations were not done at the time, it kind of looked like it just exploded. In the kickstarter comments discussing additions or stretch goals, someone suggested sheep armour, after which someone posted a link to a screenshot from a low budget horror comedy called Black Sheep, which got a bunch of similar images linked to (most from that film, weresheep not being a large sub-genre), and weresheep became a running theme.
