I don't know the answer to your question but would be suspicious of any organic material like paper mixed with clay. It is my observation that only good clay seals and nothing else seems to work. And, certain clays don't work. However, you could try it by lining a bucket with holes with different mixes of it.
An Ohio company sells a product called Aquablok. I don't know what it is but they might be a good source of potential information.
