Our girl also “talks” about things that happened a while ago, but still have a great importance in her mind. Like a spot where she saw a cat in the garden, or that someone pinched her hand etc.

I think at that age they already have quite a long-term memory.
But I remember a time with my son when he was just a few month old and very keen to play with the door keys. When I got tired of holding him there then I just turned myself so that the keys were blocked and it was like the keys were never there.