I used this as my first project for Sunday school with the Jr/Sr highers this fall. So they could have somewhere to write their prayers, and throughout the year we will keep each other updated on how God has answered our prayers.
scraps of leather, glue, heavy duty construction paper (for covers), leather string (other kinds of string can be used), hole puncher, leather tools/rubber mallet, scissors, paper.
Take your heavy construction paper and use 2 pieces for your front and back cover. Punch 2 or 3 holes on the left side of the paper, make sure the holes line up on both papers. Cut regular paper to just a bit smaller than the covers as this will be your pages. Punch holes in the paper also to line up with the other holes. Use the leather tools and mallet to stamp designs into your leather then take your scraps of leather and fit it around the left edge of your papers so it serves as a binding. Punch holes in the leather where it covers the already punched holes in the paper. Use your leather string to weave through the punched holes and tie the leather to the paper. Finally, glue the extra loose leather to the front and back covers.
Since Leather is expensive I called around to some local taxedermists and got some scraps donated, since it was for a good cause. Be creative and have lots of fun with it. I just gave a basic idea to get you started!