This is a huge update which changes much of the game. So much so that previous saves will no longer work, so you'll have to create a new save file when launching. Here are all the new features:
City defenses now unlock a region which includes side quests and other activities. By clearing the battles/side quests, you'll clear more of the region, and upon doing so - you'll get villagers to collect resources for you as long as the city's health (food and medicine) remains high.
Fishing and Mining activities - After clearing the first city defense, you'll unlock these levels.
Intro adjusted - The intro cutscene has better/more appropriate graphics.
Poison/Bomb rewards - These new upgrades are unlocked during levels. Poison will drop all enemy HP (non boss) to 50% of its current. The bomb will do 200 damage to all enemies within the bomb area.
Soul food - Getting fish will fill up the Soul Food bar. This will boost the HP/damage of your soul captures, up to 3x the standard value for a full Soul Food bar.
Weapon Upgrades - You can now collect ore to upgrade your weapons up to 3 times each. The upgrades will greatly increase the critical chances of the weapon.
UI changes - There is now an inventory section which will show you all of the items you have. In the top right, the most relevant items will be shown based on which panel you're in.
The map screen water is now animated.
Lots of bug fixes, new levels, and enemies as well