Cannot be looted, except from other players.
Can be crafted with:
The stone hatchet along with the pickaxe appear as a metal hatchet when held and viewed by another player. That is a result of the first person models being client-side, and the developers never animated tools individually. The same issue can be seen with all weapons appearing as a low poly m4.
This asset was added in later as the art style and direction of the game began to change. It uses a completely different hand rig like the other "Handmade" weapons and tools