So, I managed to kill the beast and have its heart in my inventory. The Journal says that I have to talk to a guard to receive a reward, but I've talked to every guard in Balmora and I can't find any option to ask about a reward. I even talked to Larrius Varro and the guards at Moonmoth Legion Fort but there doesn't seem to be any dialogue option from them about it either.
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Am I missing something here?