Ureh is an ancient mystical city built at the feet of mountain Nymyr, in the midst of the eastern jungles of the world of Sanctuary. It has a connection between Sanctuary and the High Heavens and Burning Hells.
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Ureh in Diablo III
Ureh was thought to have a very high probability to be a playable town in Diablo III. A concept art piece, shown on the right, was named Ureh and there are various official concept art pieces of Ureh seen also in the image gallery as well as being included in the introduction cinematic.
Unfortunately, Jay Wilson confirmed [1] in late 2009 that Ureh will not be seen in Diablo 3. Jay explained that there were simply too many locations and too much content, and that some things had to be cut in order to "get the game out sooner." From what Jay said, it's hoped that Ureh will be seen in one of the Diablo 3 expansion packs, since it sounds as if preliminary work was done; more than just concept art.
Ured in Diablo III Expansion
Since Diablo III most likely will have two expansions, and there's already considerable work having gone in to Ureh, both in concept art as well as modelling it for the cinematic, it is likely it will be one of the locations we'll see in an expansion. The sort of location it is would also support it, as it's highly mystical in nature, and really anything could happen there, storywise.
Ureh in the novels
Ureh on the world map.
Ureh was also a featured in a Diablo novel by Richard A. Knaak called Diablo: The Kingdom of Shadow. Seen in the cover, Ureh was a central town in the story. The connection to the books is important seeing how Diablo III Lead Designer Jay Wilson commented on a recent interview: "people can expect to see characters -- from some of the books." [2]
Ureh has also rich background - it is depicted in the book that in its history, it has worked as a gateway to hell. This has lead to speculation about Ureh's importance and place in the story. The jungles near the city are inhabited by the necromancers.