just outside the south entrance with a bunch of dark wizards around it
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There's two stone circles, however the main one is at Taverly, east of the path that leads past the Heroes Guild. Then there's the minor one south of Varrock.
Varrock
A copy of the Varrock Herald can be purchased from Benny in Varrock Square for 50 coins.
You just said it, Varrock Library, Inside Varrock Castle.
You can find these Hell Rats in the sewers in Varrock, You can find Varrock by exploring your map, have fun.