Charles Louis [nee Klein] Kelty on 16 April 1866 bought a boiler, engine, and the fixtures for a steam sawmill. The purchase price of $1,200 bought him a two-thirds interest, while Edmond Steiness held the other third. They formalized their partnership twelve days later. Boon believes that the machinery was stationary and set up at Biloxi Creek. That may have been on 87.5 acres Kelty bought from James Wilkerson and his wife on 1 June 1860. N. W. Gann bought a one-half interest in Kelty's sawmill and grist mill in 1873 for $1,250.
He was ordered by the court on 28 October 1875 to sell the Biloxi sawmill in order to meet the demands of his creditors. Charles Kelty apparently moved his Homer mill and machinery northwest of Lufkin. The mill may have been the first in Angelina County to have a planing mill. In 1877, no fixtures are listed for his mill in the county tax roll. He sold a later mill in 1887 at Kelty to Joseph Kurth of Angelina County Lumber Company.