The Elder Scrolls IV: Oblivion Guide - Daedric Shrine Quests
Location: Imperial Reserve between Chorrol and Skingrad.
Requires: Cyrodiilic Brandy
Level Requirement: Level 8
Reward: Sanguine Rose
The Shrine of Sanguine is located between Skingrad and Chorrol. It's in the Imperial Reserve, below the 've' in the 'Imperial Reserve' text on the world map. If you speak to Engorm at the shrine, he'll tell you that an offering of Cyrodiilic Brandy is required to summon Sanguine. Cyrodiilic Brandy can be purchased at 'The Main Ingredient' shop in the Imperial City Market District. When you have the required item, approach the shrine and present your offering. Your character must be at least level 8 to begin this quest.
Offer Cyrodiilic Brandy to the Shrine of Sanguine to summon the Daedric Lord.
The Countess of Leyawiin will be holding a dinner party, and Sanguine wants you to liven it up a bit. Doing so involves sneaking into the party and casting the 'Stark Reality' spell on the Countess. Sanguine mentions that the party is invitation only, but if your character is wearing some relatively nice clothing, the guard at the door will let you in regardless. You can buy some expensive clothing from the 'Divine Elegance' shop in the Imperial City Market District. Buy some expensive clothing, put it on, and travel to Castle Leyawiin.
The dinner party starts at 6:00PM. At this time, enter Castle Leyawiin and make your way to the throne room. Speak to the guard standing by the door to your right while wearing the expensive clothes. Inquire about the dinner party and the guard should let you in. Inside, the Countess of Leyawiin and her guests are seated at the long table.
Now's your chance to cast the Stark Reality spell. You can't hit the Countess with the spell without getting caught, so just cast the spell outright. Unfortunately, the spell also has an effect on your character! You're entire inventory is gone, including the gold that could have been used to pay the fine...
At this point, you can either let the guards haul you off to jail and serve your time, or you can resist arrest and flee from the castle. If you choose to do the latter, hopefully your character can run fast. If you don't mind spending some time in jail, the first option is the better choice.
Cast the Stark Reality spell on Countess Alessia Caro during the dinner party to complete Sanguine's task.
Return to Sanguine's Shrine and speak to the Daedric Prince once more. He points you to a chest that contains your inventory, as well as your reward for completing the task. Sanguine has given you with the Sanguine Rose, which summons a random Daedra when it hits a target. Not a particularly useful artifact, since the summoned Daedra won't always fight for you.
Casting Stark Reality on Countess Alessia Caro's dinner party.