The spawn is in front of the first village very close to the blacksmith. The first village is the most interesting one and not only because of the blacksmith. Some of the houses are oddly generated as you will see in the images below.
Here are the items which you will find in the blacksmith:
- 2 gold ingots
- 1 iron chestplate
- 1 bread
- 2 sap
To your right there should be a big savannah mountain. Climb the mountain and then head straight forward and you should soon reach the second village.
The most interesting part of the second village must be that there are quite a lot of farms.