Ascension to the Throne - bad bug, game unwinnable?

[Kolorabi]

Hi,

I've been enjoying Ascension to the Throne, but now I've hit what seems to be a nasty bug. I'm on my way to Giantville (Anneroth) to see the valkyrie woman again, and in order to get there I have to pass through a narrow valley.

After the gate and the first group of enemies, I met another group blocking my way. I can't pass them, and beating them (which is easy - they don't manage to kill any of my soldiers) only result in them respawning, and my hero saying "Gods! The dead are rising again" or something. Then some evil sorcerer say "behold the power of the dark magic" or something, and my hero says "I'll kill you as many times as I have to".

Problem is, the sorcerer isn't among the enemies, and killing them again only results in the same cut-scene again, until I'm thrown back into the same battle - over and over and over. I must have tried killing them ten times or so before finally giving up.

So now what? I can't get any further in the game unless I pass this group, which is impossible as they can not be defeated.

I'm using the latest patch.