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White Oak Splinter was a Legendary Crafting Material in Diablo III. It only dropped from The Old Man, the unique Wood Wraith that can only spawn in the Secluded Grove in Fields of Misery, guarding a Resplendent Chest (not the Cursed Chest in the same location). It was required to craft the Rozpedin's Force Daibo. It has an Item Level of 1, can be stacked up to 1000 times, and is account bound. As of patch 2.0.6., it no longer drops, and existing Splinters can be sold for 50,000 Gold.

The description is pointing out to the encounter itself: the battle only begins once the player touches the chest. Until then, the surrounding Wood Wraiths are standing still, watching the player.

The living tree is watching. And waiting.

Diablo III Crafting Materials

Regular Salvaged and Dropped Materials