From James Mishler's The World of the Wilderlands of High Adventure, the Hoargold Mountains near Eastern Karak are ruled by the dwarves, and savage dwarves dwell in the Dragonbone Mountains southeast of the Hoargolds, where they are dominated by dragons. Dwarves are also supposed to have lived in Overdark Island long ago; their descendants were twisted by the Makrabs.
Per the Player's Guide to the Wilderlands, the dwarves of the Majestic Fastness decimated the second Tharbrian invasion in 1760 BCCC. The dwarves of Thunderhold were driven from their ancestral lands in the Majestic Fastness 400 years ago by a dragon. Dwarves, in concert with nomadic human tribes, helped found the City-State of the Invincible Overlord in 3075 BCCC (the city was founded by a dwarven hero and is home to a large population of urban dwarves). There is a famed mountain dwarf kingdom north of Tarsh, and there are wild cannibal dwarves in the jungles south of Chim (who arrived there nearly 800 years ago). Somewhere in the Shielding Mountains near Valon is the fabled dwarven city of Krazandol. In the Ghinor Highlands, the Ironfoot dwarves of the Over Doom Mountains are the most powerful political faction in the area. There are many dwarven slaves in the City-State of the Sea Kings. Long ago, dwarves came to the village of Bess in Elphand at the behest of an ancient elven monarch, and they work an iron mine there to this day. There are a few hundred dwarves working mines in the Holy Cities in the Oppressing Sands beyond the Patchwork Desert. There are dwarves working a silver mine in Wenglor in the Elphand Lands. Evil dwarves prey on good orcs in the Skymidden Forest in the Ament Tundra. Dwarves have a watchtower near Doomall Lake in the Ghinor Highlands. A dwarven city in the Valley of the Ancients was ruined long ago by a monster in the heart of the mountains. The Starrcrag Mountains in Viridistan are home to a clan of red-bearded mountain dwarves. There are a few other dwarf communities here and there.
It looks to me like the loss of the Majestic Fastness is the most likely event to drive Khazakhum and his people to the Blackmoor region. Trade between the dwarves and Modron was disrupted by an orc horde in 3983 BCCC, which might have inspired Khazakhum to seek trading partners in Blackmoor instead, and there's also the unknown date of the loss of a dwarven city in the Valley of the Ancients.
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