Correct!  You picked the right answer. 
This is the Unknown Forest

Of all the regions of Meadowfield, The Unknown Forest represents the scariest, most ominous place of all.  From the legends of the dead ancestors it is said that...  No bug-fellow who dares to enter the Unknown Forest is ever seen again.

It is also said that the forest's icy air reaches out and tries to swallow up any pest foolish enough to wander too close to its twisted, blackened trees.  The best advice for the bug-fellows of Meadowfield is to keep a safe distance and leave the creaking, moaning sounds of the forest far behind.

The rumors about what lives in The Unknown Forest is described in book three, Heroes of Meadowfield...

... sharp toothed demons that flew without making a sound, or beak beasts that came out only in the dark and had eyes so big and so keen they could see a bug-fellow from any distance.  There were fur covered creatures that leaped between the twisted trees and slithering worm-like creatures with burning eyes creeping silently on the ground under the piles of dead leaves and branches.  And then there were the Sticky Tongues.  They were rumored to be as big as tree trunks with tongues as long as branches.  And these were just the living creatures.  There were endless tales about creatures of the dead; poor bug-fellows whose souls still wandered through the misty woodlands, aimlessly looking for their lost lives, calling out for anyone to finally  to finally free them from their misery.