diff --git a/assets/voxygen/voxel/sprite/lantern/lantern-orange.vox b/assets/voxygen/voxel/sprite/lantern/lantern-orange.vox
new file mode 100644
index 0000000000..104ccaec39
--- /dev/null
+++ b/assets/voxygen/voxel/sprite/lantern/lantern-orange.vox
@@ -0,0 +1,3 @@
+version https://git-lfs.github.com/spec/v1
+oid sha256:267dad1374260e2e072027ba005389ba66082f74e7c8ba64a83bb58d41a04fc3
+size 1860
diff --git a/assets/voxygen/voxel/sprite_manifest.ron b/assets/voxygen/voxel/sprite_manifest.ron
index c4aff9d909..158bb5e386 100644
--- a/assets/voxygen/voxel/sprite_manifest.ron
+++ b/assets/voxygen/voxel/sprite_manifest.ron
@@ -2824,4 +2824,16 @@ SapphireSmall: Some((
     ],
     wind_sway: 0.0,
 )),
+
+// Lantern
+Lantern: Some((
+    variations: [
+        (
+            model: "voxygen.voxel.sprite.lantern.lantern-orange",
+            offset: (-2.5, -2.5, 0.0),
+            lod_axes: (0.0, 0.0, 0.0),
+        ),
+    ],
+    wind_sway: 0.0,
+)),
 )
diff --git a/common/src/terrain/block.rs b/common/src/terrain/block.rs
index 37d1d5d3c7..f72ef8e950 100644
--- a/common/src/terrain/block.rs
+++ b/common/src/terrain/block.rs
@@ -189,6 +189,7 @@ impl Block {
             | SpriteKind::RubySmall
             | SpriteKind::EmeraldSmall
             | SpriteKind::SapphireSmall => Some(3),
+            SpriteKind::Lantern => Some(24),
             _ => None,
         }
     }
diff --git a/common/src/terrain/sprite.rs b/common/src/terrain/sprite.rs
index de7e8fd6ff..bf67e20c43 100644
--- a/common/src/terrain/sprite.rs
+++ b/common/src/terrain/sprite.rs
@@ -142,6 +142,7 @@ make_case_elim!(
         Seagrass = 0x73,
         RedAlgae = 0x74,
         UnderwaterVent = 0x75,
+        Lantern = 0x76,
     }
 );
 
@@ -201,6 +202,7 @@ impl SpriteKind {
             | SpriteKind::DropGate => 1.0,
             // TODO: Figure out if this should be solid or not.
             SpriteKind::Shelf => 1.0,
+            SpriteKind::Lantern => 0.9,
             _ => return None,
         })
     }
@@ -289,6 +291,7 @@ impl SpriteKind {
                 | SpriteKind::Bowl
                 | SpriteKind::VialEmpty
                 | SpriteKind::FireBowlGround
+                | SpriteKind::Lantern
         )
     }
 }
diff --git a/world/src/all.rs b/world/src/all.rs
index ecd63e04b3..d1a7cc98ec 100644
--- a/world/src/all.rs
+++ b/world/src/all.rs
@@ -87,4 +87,5 @@ pub struct TreeAttr {
     pub seed: u32,
     pub scale: f32,
     pub forest_kind: ForestKind,
+    pub lanterns: bool,
 }
diff --git a/world/src/layer/tree.rs b/world/src/layer/tree.rs
index becc22045a..7f0f05a0c9 100644
--- a/world/src/layer/tree.rs
+++ b/world/src/layer/tree.rs
@@ -60,7 +60,7 @@ pub fn apply_trees_to(canvas: &mut Canvas, dynamic_rng: &mut impl Rng) {
     canvas.foreach_col(|canvas, wpos2d, col| {
         let trees = info.land().get_near_trees(wpos2d);
 
-        for TreeAttr { pos, seed, scale, forest_kind } in trees {
+        for TreeAttr { pos, seed, scale, forest_kind, lanterns } in trees {
             let tree = if let Some(tree) = tree_cache.entry(pos).or_insert_with(|| {
                 let col = ColumnGen::new(info.land()).get((pos, info.index()))?;
 
@@ -202,8 +202,8 @@ pub fn apply_trees_to(canvas: &mut Canvas, dynamic_rng: &mut impl Rng) {
                 )
                 .map(|block| {
                     // Add mushrooms to the tree
-                    if last_block.is_air() && block.kind() == BlockKind::Wood && dynamic_rng.gen_range(0..48) == 0 {
-                        canvas.set(wpos + Vec3::unit_z(), Block::air(SpriteKind::CaveMushroom));
+                    if lanterns && last_block.is_air() && block.kind() == BlockKind::Wood && dynamic_rng.gen_range(0..48) == 0 {
+                        canvas.set(wpos + Vec3::unit_z(), Block::air(SpriteKind::Lantern));
                     // Add a snow covering to the block above under certain circumstances
                     } else if col.snow_cover
                         && ((block.kind() == BlockKind::Leaves && is_leaf_top)
diff --git a/world/src/sim/mod.rs b/world/src/sim/mod.rs
index 51914c28d9..676039ed10 100644
--- a/world/src/sim/mod.rs
+++ b/world/src/sim/mod.rs
@@ -2017,11 +2017,12 @@ impl WorldSim {
                         .enumerate()
                         .map(|(i, fk)| {
                             const CLUSTER_SIZE: f64 = 48.0;
-                            let nz = (FastNoise2d::new(i as u32).get(pos.map(|e| e as f64) / CLUSTER_SIZE) + 1.0) / 2.0;
+                            let nz = (FastNoise2d::new(i as u32 * 37).get(pos.map(|e| e as f64) / CLUSTER_SIZE) + 1.0) / 2.0;
                             (fk.proclivity(&env) * nz, fk)
                         })
                         .collect::<Vec<_>>())
                         .choose_seeded(seed),
+                    lanterns: false,
                 })
             });
 
@@ -2033,6 +2034,7 @@ impl WorldSim {
                 seed,
                 scale: 4.0,
                 forest_kind: ForestKind::Giant,
+                lanterns: true,
             });
 
         normal_trees.chain(giant_trees)