What? You didn't know Beowulf fought pygmies? You must not have read the same translation that Uslan and Villamonte are working from in issue 3 (Aug/Sept. 75).
Beowulf and his crew, including Nan-Zee and the assassin who is plotting to kill him, embark on their quest for Grendel. They have a few other monster to defeat along the way.
The wizard travelling with them conjures up a devil spirit to get insight on how best to kill Grendel. The scene looks great, although his advice is fairly useless, that it all depends on destiny.
Beowulf and crew land on an island with a skull shaped mountain, and encounter a tiny magical being, who explains that the group has entered Nightmareland, and proves it to them with a big light show. The wizard casts a spell to get rid of the little imp, and then they are back to being on the island, the way they were.
As for Grendel, he's just miserable. He is waiting around for Beowulf, but getting bored and irritated with Satan, who is acting all bossy. Grendel decides that if Beowulf does not show up, he'll just kill Satan instead.
Beowulf is otherwise occupied, as the skull island turns out to be inhabited by angry pygmies. They go on the attack. Nan-Zee proves her mettle as a warrior, spearing multiple pygmies at once. You'd think that would be enough to scare them off. It would scare me.
The group do drive off the pygmies, and then Beowulf enters a big pit, the home of Satan's guardian snake, the Black Viper. The climax of the issue has Beowulf killing the snake, but thinking about the fact that there are more monsters to go before he can face Grendel.