It sure sounds like it according to a story at Eurogamer.
How else is one to interpret this quote from lead designer Josh Mosqueira?
Today, we’re trying to build the best console team at Blizzard. We’re looking for programmers, designers, artists who think their dream job would be to bring Diablo to the console. Trust me, it is a dream job. All I can say is it’s going to be awesome. Stay tuned.
That’s either a weak confirmation that the game is heading to portland or it’s a blatant tease.