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Diamonds can be found in levels below 16, but when it comes to limited mining, a 3-by-1 tunnel can be done on levels 10,11, and 12 for a maximum number of diamonds. Level 12 has the highest chance of spawning.
Artisan Jewelcrafting (Levels 225-300) Gems can be rare at this level to buy off the auction house if that is how you are obtaining items while leveling with this guide. You can either buy/farm more Mithril Ore in order to prospect to get the gems which is what I had to do while leveling up my Jewelcrafting. Level.