The medallion contained Valthalak's soul? It's no surprise it was guarded by such a powerful curse.$B$BLocating Bodley presents a bit of a problem. Last time I heard of him, he was preparing to venture back into Blackrock Spire. He was never heard of again.$B$BSeek him out in Blackrock Mountain, though I'm afraid to say he's probably dead by now. I suggest taking the goblin's device with you, friend.

Travel to Blackrock Mountain and use the Extra-Dimensional Ghost Revealer to find Bodley near Blackrock Spire.