—Information accurate as of: win/645996dev Update
Charcoal is the by-product of burning wood in an ignited Camp Fire or an ignited Furnace. Charcoal will appear in the Furnace or Camp Fire as a result. It takes about 2-3 pieces of wood to make 1 charcoal. Charcoal is a crafting material that can only be used to craft Gunpowder.
Usage
Charcoal is used to create Gunpowder in combination with Sulfur.