Is this related to Castle?
I understand that Eriksson helped make the Castle series so is this like a minor storyline of the Castle Series? From my view, this Craig guy may be one of the soldiers who took part in the Caslte operation (Castle 3) and made it out alive with the general but went mad. That's probably why he keeps on seeing that zombie creature.
As for the war, I believe that's because Castle series took place when there's a resource war going on and Craig probably fought in the war before he took part in the Castle operation. That's my view of this flash movie. Overall, it's a nice flash movie.