It can get confusing when you're wandering through the black shroud and you come across the same intersection multiple times in multiple places. This is done in most every game (including FFXI), though it's usually less obvious. Take a stroll through Yughott Grotto in Vanadiel some day, you'll see the mesh re-use. It's definitely a cost/development time savings, though if abused, leads to a repetitive looking world.

Demacia, there's lore throughout the game, but you really have to search for it. There are NPCs all around that will tell you things about the world, though I agree that it's not very accessible or plentiful. Check out Little Ala Mhigo if you haven't been.