(Side note: Nathan Deshone's assistance on this project was greatly appreciated, he designed the logo for the axe and assisted through-out the whole process. Thanks Nate!)
First off I sketched up a design for the profile of the axe. I then took hard foam and cut and chiseled out a base shape. Then I use Accuforms and refined the shape of the blade and handle holder.
Next, as you see in the image below I used a Dremel tool with a router attachment to cut out the recessed area where the logo and detail would go. The logo was designed by another student who assisted me on the project.

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Next I pressed Plasticine clay into the recessed areas and carved out detail.
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Next the whole axe head was covered in hard resin(plastic) then painted with several coats of paint to resemble battle damaged metal.
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