Where on the map is the altar of the Father-Sky, where I need to bring the amulet of air? Will those 50,000 that were needed to get 50 panther warriors be needed for future quests, or can they be safely spent on redeeming troops?

I managed to level him up to level 1 in Blood.

I'm already at level 2 in Blood! However, I can't raise Crag Hack above level 20. I found the altar using the mini-map; if a message popped up when hovering over it, I would have found it earlier, especially since there were orcish troops there that Crag Hack was fighting. This altar (a pillar on an elevation) is located on the edge of the shore, not far from the fort on the left side. I approached it, and the quest was completed.