The mining town of Diamondville lies in the narrow valley of the Hams Fork River immediately south of Kemmerer. The river passes by the east of town and immediately on the other side, Oyster Ridge rises several hundred feet above the town. Formed by a fold in the earth's crust, Oyster Ridge runs many miles north and south of Diamondville. Sagebrush covers all the hills outside of the town.
Diamondville was settled in 1868 when Harrison Church discovered coal here and built a cabin on the hill in the south part of Diamondville. The original town, composed of shacks and dugouts started out on this hill. Later the Hams Fork River was rerouted so that the town could occupy the better ground on the valley floor. Diamondville was incorporated in 1896. It was named after the high-grade coal found here which was likened to black diamonds.
Diamondville has a population now of 716 people (as of 2000). U.S. Highways 30 and 189 pass through the town in a combined route, on the Spring Valley Avenue. The elevation is 6,880 feet.
The Diamondville Mine closed in 1930, but other mines in the area continue to employ most of the population.