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The Dwarves were the third of the races Einhasad had created, together with her daughter Maphr, who gave them the spirit of Earth. They were good engineers, skilled mathematicians and excelled in fine craftsmanship. Soon, however, they were enslaved by the Giants who far exceeded them in strength and intelligence. Seeing the usefulness of the Dwarven race, the Giants permitted them to work in banking and manufacturing.

While they served the Giants, the Dwarves unobtrusively learned a lot from their masters, and when the Giants rebelled against the gods, with the well-known consequences, the Dwarves were the first among the former slave races who succeeded in establishing a stable society of their own. Far in the north of the continent they found a place with swiftly running rivers, surrounded by mountains with rich deposits of coal and various ores. The Dwarves started to dig mines and built mills to process the ores. They called that place "M├╝hling", i.e. Milltown, which was later shortened to "Mlan" and became the capital of the Dwarven Kingdom.