| If I remember right, he's not actually on the shore, but west of the shore, up a small hill. He's not hard to find, its just that the quest instructions are severely misleading.
Gamebanshee has an awesome walkthrough for Bloodmoon--should you get stuck somewhere.
edit: here's a copy-n-paste from the walkthrough (spoiler)
1. Korst tells you to meet Rolf Long-Tooth after nightfall near the west shore of Lake Fjalding and help him with the hunt. It's a bit deceiving since he won't actually be on the shore. Again, I spent a half hour just looking for him and trying different times of the night. Fortunately I'll tell you exactly where he is.
2. After 9pm, preferably by 12 or 1am go to the west-northwest shore of the lake and then head west, up a small hill until you see a few people. The middle Skaal is Rolf. Speak with him.
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