This item is no longer obtainable in-game. It was part of the pre-Cataclysm expansion patch that allowed players to retake Gnomergan (for Alliance) and the Echo Isles (for Horde).
All levels of players could complete the quest chain was awarded this. For characters level 75 and above, Darkspear Shroud was a reward for doing another side quest as a part of the same Zalazane's Fall event.
The Alliance equivalent is Gnomeregan Pride.
Although the item is classified as a consumable, it is not consumed on use. You can use it forever, but it does have a four hour cooldown.
In Warlords of Draenor, this item will be added to the new Toy Box feature and no longer take up a bag slot. You will be able to "use" the item straight from the Toy Box interface.
The Toy Box will be account-wide and therefore so will this item.
It seems that of the most recent beta build, learning and adding Darkspear Pride to the Toy Box will also add Gnomeregan Pride to the Toy Box.
I believe this is intended - and not a bug - because of two reasons: Faction-changing the character that has the item in their inventory will also cause the item to change to its opposite faction, too. Also, the Toy Box is account-wide, so it'd be a bit silly not to recognize that many players' World of Warcraft accounts have characters of both factions.
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