A shield dwarf named Melair discovers a vein of precious mithral beneath Mount Waterdeep. King Melair I, as he comes to be known, sends word to his kindred, and those who answer his call become Clan Melairkyn. The Melairkyn are traders, artisans, and explorers, strongly protective of their home, which they name the Underhalls of Melairbode. »
Drow overwhelm the Melairkyn dwarves of Undermountain, and King Melair IV is slain. The dwarves retreat to lower, less important levels of the Underhalls. »
A wizard of unknown ancestry calling himself Halaster Blackcloak later identified as the Raurinese wizard Hilather builds a tower (using summoned demons and other outsiders) and a fortified ramparts in the middle of the Deepwater Plateau, to the north and west of the burgeoning farms along the harbor shore in Waterdeep. The tower is called Halaster's Hold. He is accompanied by his apprentices (which included Arcturia). He begins exploration of the Underhalls of the Melairkyn and claims the delvings for himself.
Halaster discovers the remnants of the Sargauth Enclave, and recognizing the danger posed by the future Skulls of Skullport, retreats from their area and forbids his apprentices from investigating the area. »
Clan Melairkyn, forced to retreat to successively lower and less important levels of the Underhalls by the drow, finally vanishes. The drow name thier new holdings Kyorlamshin and claim most of fallen Melairbode as their demesne.
Bandaerl, son of Rykos, blood of Melair and High Old One of Dumathoin survives the attack in King Melair I's tomb (one of the sub-levels of Undermountain) as an archlich. »
The mithral in the halls that were once held by the Melairkyn dwarves in Undermountain are finally mined out by the duergar. »