I'm level 16 and trying to get Hammer & Forge up to iron tools (2). I had an Intellect of 6, clicked on the grayed-out button for Hammer & Forge and the message indicated, "You must increase Intellect". I bumped Intellect to 7 and the message remains the same. Looked up the requirements and it's actually that I need to be level 20. Sounds like your error message is wrong.