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Melstone is a town in Musselshell County, Montana, United States. The population was 126 at the 2020 census. The town was established in 1908 as a base for operating crews on the Chicago, Milwaukee, St. Paul and Pacific Railroad, then under construction in Montana. Although the railroad was abandoned in 1980, Melstone survives as a community center for farmers and ranchers in the lower Musselshell River valley.