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The Dwarf Mines is where the dwarf eggs are hatched, and they live out their days, mining for diamonds.
Before the Curse
Dreamy is given his pickaxe. ("Dreamy")
Nova the fairy is flying through the sky and accidentally drops some fairy dust that she collected from the dwarf mines, this fairy dust falls and lands upon an egg that hatches a dwarf. This dwarf is groomed and asks Bossy, the leader dwarf, about the woman he saw right before he hatched, but Bossy tells him that it must have been a dream. The dwarf is next taken to be named by his pickaxe, he picks it up and is given the name of Dreamy. Dreamy is later seen working in the mines as the fairy Nova is collecting dust. The machine begins to overflow and she can't pull the lever to make it stop, she calls for help and Dreamy runs to her aid, stopping the machine. She thanks him, taking a liking to the dwarf, before telling him of the fireflies on a hill she's going to that night before she delivers the dust, clearly implying an invitation, however, Dreamy merely tells her to have fun before leaving. He soon finds out from Belle what Nova meant, thus starting their romance. It's short lived, however, Dreamy is talked into not leaving with the fairy to travel the world and instead stay in the mines where he takes a new name: Grumpy. ("Dreamy")