In Blood Omen, only people of noble lineage were able to enter the inner walled city of Willendorf, where the castle was. Kain's Disguise form made him appear like a human peasant, and that was not good enough to make the Hope soldiers open the gates for him. He needed a stronger spell, a new form that allowed him to hide his vampire nature, but still appear as the nobleman he was.
Willendorf's people mined for precious metals to the east of their city and township. In their pursuit of these riches, they had uncovered "ancient secrets" too. Exploring the area around Willendorf, Kain recalled hearing about one of these: a tomb that had been uncovered in the Provincial Mines. It contained an "ancient forefather of King Ottmar himself", but more importantly, it housed a special Blood Fountain that would allow Kain to "cast the most noble of illusions".
Kain had to travel through the Provincial Mines, and find and use the Blood Fountain. Once he had drunk from it, he was able to use Beguile form, an enhanced version of Disguise, and gain an audience with Ottmar.