Iron ignot (3x3 iron ore) + timber (3x3 wood) = Nail bat (16 AT power)
6x herbs + empty bottle will make medium healing potion.
Iron + hide (dropped by little snakes) will make shank, your first sharp weapon.
Stick + saphire stone will make you wizard staff.
5 pcs hide + 5 pcs shell will make beetle shield.
Iron ore + alkahest will make 5 pieces ninja stars.
3X wood + 1X stone will make wooden sword.
It's obvious that I haven't covered in the above list all of the items that can be made from crafting so I will update this Castaway 2 Crafting guide when we have collected more data (I'll also try to include those premium edition items).