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Arvind I have yet to "blue" a khukuri,but I have done so with other blades like my CS Trailmaster that I have yet to rehandle.
It has set for a long time without one now,but back to the subject.
I use Birchwood Casey products,because they are easy to obtain at my local Wal-mart.
The trick to "Cold Blueing" is to get whatever you're blueing warm to the touch.
The directions say room temperature,but steel always feels colder when first picked up.
You must get the steel scroupously Clean!!
I wash it good with a dish detergent like Dawn using rubber gloves.Then I clean it further with rubbing alcohol.After cleaning it I always keep it on paper towels or anything that won't let even a speck of grease or oil on it.
Then I either heat the steel if it's small enough in a pan of water that is just showng the bubbles before it boils or run the hot water out of the tap until the steel is hot enough to evaporate the water when taken out from under it.
Then I follow the directions on the bottle and using cotton balls wipe the blueing chemical on.I do this until I think it is about the color I want before using the steel wool on it to bring out the color.
I am betting the Scotch Brite pads will work better than steel wool,because it doesn't shed.
When I get it the color I want I Gently wipe a Thin coat of oil on the piece and let it set for 24 hours.It takes that long to "set" up and harden.
I then buff it out with a soft cloth and if it needs more "Blue" I repeat the process.
I blued my CS TM several years ago and when I took the handle off I reblued it.
It seems to last quite a long time when done this way and I didn't have any major problems with the Carbon V rusting and it didn't always get the best of care.
Caerbon V is notorious for it's rusting ability!!
Hope this helps and if you have any further questions feel free to ask.
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Khukuri FAQ