440c, is a stainless steel, not particularly great for holding an edge, but it will suffice, as its about all you can find, unless you know where you are looking.
The wood you have is probably oak, it will make a durable handle, but isnt very visually attractive, in my opinion. Dried well will be ok to use for scales.
Stabilization is usually used on woods that are soft, or in some cases rotten, with a fungus growing on/in the wood that makes it visually appealing. Epoxy or glue of some shape form or fashion is drawn into the wood with a vaccuum, making it much more stable, hence the name, and allows you to use woods that wouldnt normally have the structural integrity for scales.
Good luck!