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Same here. Maybe they work slower or the game simulates Pals working and keep producing stuff when you enter Despawn range but it still works regardless.
The first base I built was on starting isle, the first satellite base I built was in the red soil area. These two both had no issues working at the same time. My 3rd base is on the SW island at the very bottom and if I am not in that area it stops working. Sooo... there is some weirdness.
Yes and no.
If you are close enough they'll keep working, and feeding, and sleeping as normal, but if you go too far the area will unload, despawn, so nothing will happen until you get close again. This is normal, happens to all games that requires processing like that, you can test that on Minecraft by cooking food and leaving the are far enough to unload in your screen, for example.
In Palworld you can see the processing working, I'm gonna spoil that part, so if you want to keep having the "magic of development" you don't need to read, if you want your game ruined by me, you can keep reading: If you set the FOV to 90 or more you can go far enough from a Pal to keep them loaded in your screen, but you can angle them to the corner of the screen, you'll see that the walking animation won't play anymore and they'll teleport instead of moving THIS IS NORMAL, this is how games work, to make better to process, things like that happens in the background.
Some developers knows how to do that by hiding that from the player, some, like CDPR, doesn't know how to do that and let this happens in front of the player, like Cyberpuke 2077.
Thanks for replies much appreciated
I could leave for a half hour, and there would be massive piles of ore and coal to pick up, but only a couple hundred in my chests. The chests which are 1 step from each ore node. If I stand there, the piles don't build up, and I collect about 800 ore and 1500 coal every 30 minutes. I do have my resource respawn timer jacked all the way to easy mode, so your results may vary. But for me, it's like a 4 times difference. I'm using 4 digtoise and 4 lovanders at this base.