The history of the Drumheller Valley Ski Area is a relatively recent one, spanning only to the late 1980s. In the late 1980s, a not-for-profit organization was created with the goal of bringing a downhill ski area to the town of Drumheller. The organization sought to build a small community ski area similar to other Prairie ski hills such as Aspen Heights or Valley Ski Club.

The idea enjoyed strong community support, which the club used to their advantage. Fundraising events along with many donations helped to fund the snowmaking, groomer, and chairlift. The land for the parking lot and lodge area was leased from the nearby Canadian Passion Play, who also donated the use of one of their buildings as the lodge, while the ski hill land itself was leased from the county.

By the summer of 1993, the ski hill had raised enough funds to complete the resort, and it officially opened for downhill skiing in December of that year.

Drumheller Valley was truly a community ski area, with ski club members electing a board of directors each year. The ski hill provided around 30 part- and full-time jobs and expanded the town's appeal during the usually quiet winter months. The Riblet quad chair was constructed with the help of local companies who donated their time and equipment to install the concrete foundations, towers, bull wheels, and motor room. Additionally, other businesses in town donated by hosting raffles and banquets, or by sponsoring individual chairs.

While the northern exposure of the ski hill helped protect it from winter Chinooks, which are the natural spells of warmer weather the Calgary area receives. However, the hill struggled to attract skier numbers, some years only receiving 9,000 skier visits. There simply weren't enough tourists in the Drumheller Valley during the winter months to attract the visitation the group had hoped for. Additionally, the ski area started winter operations with a $60,000 loan, which was only paid back eight years after the hill started operations.

Unfortunately, these two conditions meant that it was only a matter of time until the ski hill closed, which it did after the 2009–10 ski season. Drumheller Valley ended up defaulting on their bank loans while also not paying a $30,000 water bill to the town.

The town of Drumheller proposed annexing the county land the hill sat on, which would have given the town the power to lease the land back to the ski club at a greatly reduced rate. Under this proposal, a local operator who had previously attempted to reopen Fortress would have overseen operations under the town. Ultimately, this plan was brought up at a city council meeting but shot down by many councillors, including the mayor.

Instead, a court-appointed receiver auction was held, with the ski hill land, chairlifts, snow guns, and grooming equipment all put up for sale. The Canadian Passion Play purchased all of the equipment including the land. The Passion Play had reportedly been offered several times to give the Riblet quad chair away for scrap, but instead chose to sell it to Big White, who planned to use it as part of their expansion.

The ski lift was removed in 2014 and the land is now privately owned by the Passion Play. While there have been several attempts over the last decade to reopen Drumheller Valley, it is unfortunately unlikely that a reopening of the ski hill will ever happen.