Oberndorf is a town in Southern Germany in the State of Baden-Wurttemberg, so that is the location referred to on the reverse based on "Oberndorf - Wurtt". The town is home to Heckler & Koch and Mauser, if you are a gun person. I have been to the palace of the bishop of Wurttemberg and it is quite beautiful - the whole area is very nice. Based on the date, 1918, it is obviously from World War One. "Kriegsgeld", as it says on the obverse, literally means "War Money". Pf is short for Pfennig, the German word for Cent. During the war, most European countries suspended the gold standard since they were printing to pay for the war and there was a shortage of specie as people hoarded the old money, so this was most likely some kind of local government emergency measure to keep commerce going.
There is a coin from the same series denominated 10 Pfennig currently on Ebay with 2 days to go (today is June 2):
http://www.ebay.com/itm/ANUNVER-WW1-Not ... 2c65b5df49