Fel Steed

Fel Steeds can be found in Shadowfang Keep.

Notable drops

 * Fel Steed Saddlebags
 * Eerie Stable Lantern

Felsteed?
Since it's not classified as a demon nor produces flames from it's hooves and eyes, like every other nightmare horse, it's not clear if the creature is actually a felsteed or a normal horse that may be corrupted with fel energy.