Hi crosstitcher. Sounds like progress. smile
Click to reveal..
You’re going to need to make 2 centerpieces for the water wheel, so make sure you have 2 forge buckets.

Regarding your concerns:
1. No, you don’t have to "restart" your game.
2. No, your "crew" will be there.
3. The Lemur should ”travel" with you to Chapter 2.
4. Re-crafting? I’ll let you discover this on your own. wink
5. New stuff? Again, I’ll let you discover this on your own. wink

Like Chapter 1, Chapter 2 is challenging.
Click to reveal..
You should explore everything more than once, pay attention to all of the clues your villagers give you (what they show interest in, what the messaging says at the bottom of the screen when you hover them over an area, etc), have a well stocked Crafting Hut, and lots of tech points.
_________________________
Kathy
Lead Tester
Last Day of Work