I have made it a ways into Chapter 2 and I already talked to Zyvik and got his hat. I just saved the two soldiers in "Lost Lambs" and the game is telling me to talk to Zyvik to get my reward. Only problem is the arrow points me to the fog and then back again and the marker keeps going to random locations on the map and he is never there. I am afraid to progress further if this is a glitch so I was wondering if anyone else had this same issue.

Randomly found him after several loads in the tent near the entrance. Same place I had checked a dozen times before and the marker was still way off. All worked out though.

I had the same issue even with patch 1.3. It seems like another bug to solve for the next patch.