Each glowstick costs 10 Oil to craft, meaning a single pallet of 100 can provide 10 glowsticks.
Open the Forging menu and open the Weapons category. Glowsticks are shaped like a diagonal line.
As of Patch 0.4.6 Glowsticks only last for 1:30 and the player can only use 4 at a time. Throwing another glowstick when there are 4 on the map causes the oldest to de-spawn.