The Norway Augustana Synod in 1882 received word that there were enough Lutherans north of the Yellowstone River to start meeting in the Castle-Melville area. In 1895 Jorgen Elius Madsen accepted a call to that area and as a circuit rider, traveled the Absarokee area. As a result, Immanuel congregation was organized on February 16, 1897. Madsen was the first pastor, serving from his residence near Castle. In 1899 they built the first Lutheran church south of the Yellowstone River on Butcher Creek immediately above the site of the old Crow Agency. The land was donated by Magnus Johnson. In 1901 Rev. Madsen became resident pastor and moved to Absarokee. Need for a church in the community became apparent because it was hard to reach the country church, so construction was started in November of 1915. It was dedicated on July 15, 1917 with a three-day festival. Rev. O. T. Haugan came in 1924 and remained for 15years. When he left, the membership had doubled to 400 souls. The new parsonage was built in 1931, the materials being purchased with funds from the sale of the first church, and at that time the congregation received its permanent endowment when pastor John Rudd deeded his ranch to the church. The church was renovated and redecorated in 1967.
From the guide to the Immanuel Lutheran Church Records, 1897-2012, (Pacific Lutheran University)