When entering Oribos in a party (of two) after doing the Maw intro together, you are presented with the Threads of Fate /Story selection. After both party members chose and then typed in “Fate” the quest progression afterwards did not point to the Covenant Selection quest. It indirectly pointed us back to the “Fate” selection quest after doing the Oribos walkaround quest and then eventually sent us both to Bastion at which point it seemed we were being inducted into Kyrian. One member hearthed back to Oribos and left party at which point the covenant selection quest popped. Same for me once I hearthed back.
Both Party member had done the full story on mains prior and had chosen and finished the covenant questing.