  We present the discovery and high signal-to-noise spectroscopic observations
of the optical afterglow of the long-duration gamma-ray burst GRB070125. Unlike
all previously observed long-duration afterglows in the redshift range 0.5 < z
< 2.0, we find no strong (rest-frame equivalent width W > 1.0 A) absorption
features in the wavelength range 4000 - 10000 A. The sole significant feature
is a weak doublet we identify as Mg II 2796 (W = 0.18 +/- 0.02 A), 2803 (W =
0.08 +/- 0.01) at z = 1.5477 +/- 0.0001. The low observed Mg II and inferred H
I column densities are typically observed in galactic halos, far away from the
bulk of massive star formation. Deep ground-based imaging reveals no host
directly underneath the afterglow to a limit of R > 25.4 mag. Either of the two
nearest blue galaxies could host GRB070125; the large offset (d >= 27 kpc)
would naturally explain the low column density. To remain consistent with the
large local (i.e. parsec scale) circum-burst density inferred from broadband
afterglow observations, we speculate GRB070125 may have occurred far away from
the disk of its host in a compact star-forming cluster. Such distant stellar
clusters, typically formed by dynamical galaxy interactions, have been observed
in the nearby universe, and should be more prevalent at z>1 where galaxy
mergers occur more frequently.
