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If you're at the beginning of the game, you're unlikely to find any dynamite. It appears in Act II and becomes craftable in act III. You have to backtrack with it if you're talking about Act I areas.
There are few with set appearance in mines, some bosses and scrap piles in those areas drop them randomly too.
P.S. don't forget to put some notes or just memorise zones you wanted to check once you obtain dynamite
Then take the Old Arkovia Rift and grind Cronley's men all over the outside, but steer clear of the Bruiser area.
In the same area grind Hanneffy Mine.
In the same area grind Cronley's Hideout, but there is no need to fight Cronley again unless you want to.
While doing all of the above make sure to break all of the piles, boxes, and such.
I know most people write to craft the dynamite, but I like to grind and after....
Loging in grind, logout, login grind, logout, etc....
Doing that 10 times gets me 20 plus dynamites.
You're going to get plenty more further into the game, but that'll cover you for what you need initially. 😊
I've been doing this so much, in all of my hours of playing, I have 1000 dynamites stashed in my Hardcore shared stash.
EDIT: Of course everything is RNG but, I just did what I suggested in HC (Hardcore) Elite and got 12 dynamites in that run.
Running through the mines to pick it up in the wild isn't really worth it IMO (at least to me). Use it for the 1-2 story/progression spots (where I think dynamite is provided in the area) and just either write down other places or not worry about it until second play
Re-run the last portal at the Wardens lab to gain 12/13 aether crystals.
it took you 10 runs to get 20 dynamites (of which only 10 was guaranteed btw)
in 1 single crystal run you can get the equivalent of 10 dynamites, ie needing 2 runs vs your 10 runs to get the same 20 amount/be done with the same task.
*heck if you do Immolation run it will only take 1 actual run since it has slightly more, even if it takes a bit longer than lab run
while it's perfectly fine some are ok with or even like grind/doing 10 runs where 2 is needed, it's probably also important to remember perhaps not all do, and the various "hacks"/tips & tricks exist for one reason or another
Have you visited the mines, killed Cronley (main quest) and moved to the area with the undead?
and like Striker says the quest isnt' directing you to go to level 32 areas in act 1, it's directing you to Act 2.
Level 32 areas is for later/coming back when higher level etc
act 2+ the dynamite mines
https://imgur.com/a/2qndDCl
But up there in the lab is the first boss and I couldn't find him so I thought he was in the dynamite area and now I don't have dynamite and I can't continue with the main story
So I'm in ACT 2, but I've been in the mine and there's not one enemy left.