Laurel is a city in Yellowstone County, Montana, United States. It is the third largest community in the Billings Metropolitan Statistical Area, and is located in the Yellowstone Valley, as an east-west terminal division point of the Burlington-Northern Railroad. The population was 6,781 at the 2010 census.Both Interstate 90 and a number of local railroads run through Laurel. It is most known for its industry and agriculture, but also has a historic shopping district.Laurel is home to a Cenex Harvest States oil refinery and Montana Rail Link's Laurel Yard, the largest rail yard between St. Paul, Minnesota and Pasco, Washington.