Not sure this is related to much, but the area around Excaliber is suddenly a desert. No water anywhere, unless its crystal clear. This problem seems to right itself again between there and Eastfang, but did come across another huge beach like area to the left of the portal from Nasc. Should be all water, not a gigantic beach. I mean the beach goes on until you hit the edge. Odd graphical issue.
Not sure if its the same for everyone.