Dwarves are one of the four Elder races . Placed on Erdreja by the Celestial Dragons with the duty of ensuring the Egg hatches correctly. During the Race Wars, when the Younger Races were coming to power, the Dwarves are said to have fallen back to the far south, but there are still many to be found across current-day Erdreja.
The elemental dragons were aligned into four cadres, the cadres of feast, famine, war and peace and each cadre of four dragons summoned or created a race onto the surface of Erdreja for the purpose of helping care for and hatch the egg. These were the four elder races, Elves, Dwarves, Fey and Ologs. - The Story of Lolth - Unknown
The pattern of the Dwarves is tied to the Void elements and their main association is Wit of the Mind Weave. Their racial affinity is to the Knowledge element, which ties them into the Peace Cadre having been created by Peace to watch Erdreja during the time of the Dreaming.
Predictably enough, their elemental mineral is Gold.
Types of Dwarf
There are a few main types of Dwarf:
The "Surface" Dwarves, found in the near-surface regions of the underdark prior to their self-imposed exile 'to the South' at the end of the Race Wars. There are very few Dwarves left in the Heartlands regions of Erdreja.
The Duergar, underdark Dwarves. It is unknown why these Dwarves chose to , also known as Gray Dwarves, much more comongly encountered by the Underdark races.
Whilst regarded as an 'underground race', Dwarf mines barely even scratch the eggs surface in comparison to the great caverns of the Underdark, and they are not commonly found below.
Dwarven Tactics - Tarran
More about the Dwarven way of life is discussed here.
Duergar - More information of the Dwarves of the Underdark.