Notch can be found in The Clearing. Yes, Notch is in Yore!
He wants you to find his Notch's Hat.
There is no point in attempting to complete this 'quest', as he lets you keep it anyway, and your reward is a lousy 20000 Gp. Also, turns out he has 100's more and then proceeds to tell you to get out if you attempt to talk to him again.