Quoted from Kcpinballfan:
What is that supposed to be on the left kicker? It used to be an axe. Can we get an answer on whether or not there will be a body for smaug? Jack you told me in an email smaug would have more than just a head, that he would have some body showing and a tail.
I think it's a diverter that will somehow (maybe pop up) force the ball over to the outer rails returning the ball to the lane with the kick-back solenoid/plunger.