Nice! This looks already pretty medieval-ly. I used to read a book about the Bayeux Tapestry when I was a kid, so I have a fairly good idea about what to expect. It is definitely a nice choice for a style!
That folktale sounds pretty damn dark. Then again, being from Germany, I shouldn't point fingers, since the Brothers Grimm are also pretty... grim.
I personally like the finnish tales, though I do not know many of them. One of my favorite bands is Amorphis, btw. They used to base their lyrics on the finnish national epic Kalevala and now have a poet write their lyrics who is heavily influenced by the Kalevala and the Kanteletar. Correct me if I'm wrong though.
Really looking forward to see how this'll work out! Best of luck!