Despite me having the unique dwemer artifact and talking to Yagrum Bagarn, he still spouts out the normal greeting about being the last living dwarf. I've looked in the CS and I apparently meet the conditions for the quest but I could not progress the quest without console commands which I ended up doing. It seems that his default greeting takes precedence over the greetings associated with the back path.
I did give an artifact to Fyr and did the Corprus Cure quest. Actually, I was up to the point of meeting Vivec but Vivec was already dead so I took the dwemer artifact to Yagrum Bagarn but he kept on saying that he was the last living dwarf. The conditions of him saying "Is that a unique dwemer artifact?" only requires you to speak to him with a unique dwemer artifact in your hand, according to the CS, but he never says it.
I thought that was with the Egg of Time and Mages Guild Quest
The "Back Path" wasn't restored in Morroblivion - it is missing some dialogue, and the parts which are there aren't conditioned properly.
I'll attempt to restore it for the next release.
Back Path was restored in v059.
#1
You did give the Artifact to Divayth Fyr