It's the place where the crawling Slig is on the top right of the screen. The Glukkon yells help and an alarm is sounded and the crawling Slig wakes up. The crawling Slig respawns everytime you re-enter the screen (provided there is only one crawling Slig at a time).
I believe it is one of the early brewery levels. I don't think there is any limit to how many Sligs you can get (besides things like computer memory and RAM).
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