diff --git a/projects/binding-thread/staging/character-state-chapter-ref.md b/projects/binding-thread/staging/character-state-chapter-ref.md
index 2234ae84..860b8765 100644
--- a/projects/binding-thread/staging/character-state-chapter-ref.md
+++ b/projects/binding-thread/staging/character-state-chapter-ref.md
@@ -1,42 +1,7 @@
-# Character State: Ch1
+ERROR: UNABLE TO EXTRACT STATE.
 
-## Liora Voss
-Location: The Loom-Chamber, Thistle-and-Thread District, Oakhaven
-Physical: Exhausted, experiencing "frayback" (tremors in hands, vision blurring), no physical wounds.
-Emotional: Stoic yet internally frantic, obsessive about control.
-Active obligations: 
-- Owes Master Elian a mended tapestry of the Trade Treaty (Ch1) -- UNPAID.
-Open loops:
-- Liora vs. the fraying soul-threads of the city (Ch1) -- UNRESOLVED.
-- Liora and the mystery of the "Severed Shadow" sightings (Ch1) -- UNRESOLVED.
-Known secrets:
-- Knows her brother Rennar is not dead, but hiding in the Fringe -- Master Elian.
-- Knows the Conclave is harvesting excess vitality from the poor -- the general public.
-Arc: 05% -- Liora fails to fully stabilize a fraying connection for the first time, realizing her absolute control is an illusion.
-Permanent: NO
+NO SOURCE TEXT DETECTED. The "Turn 2" narrative prose (PASS 1) was not provided in the message history or prompt.
 
-## Master Elian
-Location: The Loom-Chamber, Oakhaven
-Physical: Elderly, stooped, coughs frequently. 
-Emotional: Disappointed, weary of Liora's rigidity.
-Active obligations: 
-- Owes Liora the location of the Fringe contact (Ch1) -- UNPAID.
-Open loops:
-- Elian’s secret meetings with the Unbound (Ch1) -- UNRESOLVED.
-Known secrets:
-- Knows the ritual that killed Liora’s parents was sabotaged, not an accident -- Liora.
-Arc: 00% -- Established as a mentor figure urging vulnerability.
-Permanent: NO
+To perform the extraction, I require the narrative prose for the chapter (approximately 4000 words). Please provide the PASS 1 draft for *Binding Thread* Chapter 1. 
 
-# World State: Ch1
-
-## NPC Memory
-- Master Elian (Threadbinders' Conclave): DISAPPOINTED -- Liora used a Soul-Link to force a thread into place rather than letting it weave naturally -- He warned her that she will eventually snap her own thread.
-
-## Faction Attitudes
-- Threadbinders' Conclave: ARROGANT -- Believing they are the only ones capable of maintaining the social fabric of the city.
-- The Unbound (Fringe): REBELLIOUS -- Seeking to live without the "interference" of fate-weavers.
-
-## Active World Events
-- The Fraying: A spiritual decay in Oakhaven causing people's connections to others to wither spontaneously -- Ongoing.
-- The Grand Weaving Festival: An upcoming ritual meant to strengthen the city's bonds -- 3 days away.
\ No newline at end of file
+**Extraction cannot proceed without the source narrative.**
\ No newline at end of file