Been on the prowl around the internet and found this unique approach to creating a three dimensional sculpture out of a two dimensional drawing. While she is not making a puppet the technique would be very usable for puppet building or sets. An added bonus if you go ahead and visit her page is that she has a page with Paper Mache' paste and clay recipes.
http://ultimatepapermache.com/sculpt-a-dragon-1And while we are on the subject of Paper Mache' and dragons... didn't realize we where talking about dragons did you.
I think we've shared these before but hey they are really cool!
Papier Mache Dragon MarionettePaper Mache Sea Dragon