I would add, however, that there are a lot of costs attached to getting a shipment of magnatite missing.
First, it's time. If a briefcase of this stuff costs 1000 gold, I would expect a wagon to be very well guarded, and any actions taken against the trade that is so profitable to meet a proportional security response. Like, angel-level security. Magnatite is like uranium in our world, there is no simply 'misplacing' this stuff. It will take years until Fortunio gets strong enough to even get a glimpse at such a caravan...
Very true. However, you're missing an important point: even if we took an entire ship of magnetite, we really don't have the infrastructure to use it. I mean, the goblins' tech level is a few steps above from a "hunter-gatherer" society, so it's not like she-Jekill would have the materials at hand to produce a nuclear plant or a giant robot*, or at least not without taking a few years (and since this LP will take decades ingame, time is not a problem). Hence why I said we take only a chunk of magnitite or nothing at all if necessary. What's more, we don't even have a laboratory to begin with.
She can make a rudimentary one of course, but even then we lack resources and manpower to do much. That can be partially solved by annexing Erise Village and examining what kind of drug their water source carries that makes their average peasant superhumanly strong. Perhaps we'll be able to ask the the prince to give us that region as a reward.
I'm not sure if we should ask for the recommendation letter though. To start, how would we use that? We don't have any interest to find a job in the capital nor leak personal details about us. Plus we don't want to stay here more than necessary when the average reaction towards inhuman creatures are "kill it with fire!!" or "yay, free slaves!". We also don't really need the money, since we haven't found anything really worth of buying so far.
I wonder what would have happened if Erd went to the Paladin city. I bet that would have ended with a "Bad End" scenario pretty much instantly. Lastly, one detail I missed:
When you told the guards at the gates you were here about Zayan, and after they had gotten a good look at your hat... [...]though not before his eyes flick upwards to the peak of your tall, pointed hat.
Clearly we need to change our disguise so that the hat doesn't attract so much attention. Surely painting it red will throw people off for a while.
Jokes aside, maybe I'm being paranoid, but if that guy somehow had seen Angels in the past and lived to tell the tale, then he specifically looked at the peak of the hat because he was suspecting something. Either way, he must not leave alive the city.
*Besides, one of the Demon Weapons we can acquire is a demonically-powered, partially autonomous giant golem, so we have that area covered already. However, it probably will require a pilot in order to have some degree of control over said weapon. Good thing we have a pair of 14-years old orphan teenagers with mental issues. I'm sure they will be the perfect candidates for this job.