most of the loot that i have seen is related to a meaning, say for example the crown items in nightmare scion, the leather whip on vampire bride, etc i won't say cip does perfect but i think they take care of the lore part of their game so if all these mobs drop zao related stuff and there are lancer bettle corpses it could indeed mean that is related to zao, the only thing that i hate from that new hunting place is that there aren't too many sources of information for low levels so if there's anything to be known in there, should be hidden inside the hunting grounds awaiting for any mysteriando to find it eventually, but this place, their lore, and the relation it could have mostly come related to something OR they relate it in further updates.