You need Farah in your party. There is a Octobreeder out there which will "attack" your boat when Farah is aboard. Get her in group. Sail around. You will know the scene is starting when the screen is a faded close up of your face and you see a lot of Z's. When you wake up, talk to Farah (who is on deck). Go down into the hull and talk to the rest. When you come up, Farah will be being attacked by an Octobreeder. THAT will get Farah pregnant (if you let the octobreeder fuck her).
Commander Seth is only important when you go the good guy rout. He is the betrayer who will free Osira (which happens when you go back to the tomb of pharos, all the way to the last room) and... start the sequel, LOQO 2 (you don't need to do it to play 2... that is just how 2 comes to be).
There is also a quest that you need to wait for game+ to do that involves the legendary creatures. In + the woman by the bounty hunter sign will talk to you more. Her quest is to kill all the legendaries so she can find King Courtus and kill him. You have to talk to her again at her house (in Greece). From there, she will head to King Courus. She will be there when you show up and because you "help" her kill the king of the legends, she will give you a present -- the ultimate sword (it is hers, but she is "retiring").
Final note. Did you pass through the doorway that opened when you put up all 11 paintings in your house? It is up center. There is a gift involved with it but I can't for the life of me remember what...
(Duh. Never mind. It is the map to the Mansion.)
