Hi Mugge,
It is quite a common covering material in England. I saw a nice review of a top-flite spitfire done in it with a glow engine. You do not use wallpaper paste though, you use pva or elmers type glue, even titebond I think. Make sure you do not use the coated brown paper as the water resistant qualities prevent the glue from soaking into the paper. It is very stong when dry and tightens up very well with shrinkage. I would not worry about fuel soaking into it when is dried. I am not too sure about covering the fuse in small peices though, I am sure the overlapped paper will bond together but I would like good size overlaps to ensure strength. I have seen the panel trick done before though and it does look effective when finished. The brown paper also works very well straight over foam too apparently on areas such as wings but I have never seen it done myself on any scale or larger models. Just fun fly combat types.
do a little research and I am sure you will find some help.
I am more a fiberglass type myself and panels raised and butted can be simulated but with some greater amount of work. Let us know how it works if you try it as I may try it on a little Spit I am doing.
Good Luck
Paul
Hey Balsa, am I really a criminal sinner just because I fly ARF's and there are one or two that I desire to fly too.[sm=wink.gif]