Fold butcher paper in half width-wise, with folded edge away from you.
Mark middle of folded edge with a crease. Fold in two top corners of folded edge to meet at middle, forming a triangle with a double-layer flap sticking out underneath.
Fold front layer of flap up to front; fold back layer flap up to back.
Take hold of center front and back of triangle and pull apart, pushing in opposite corners so they lie flat against each other, creating a diamond shape.
Fold front and back bottom corners of diamond up front and back, respectively, to meet at top corner. (You should now have an open-bottomed triangle.)
Pull triangle open, flattening into a diamond as in step 4.
Pull wings at top gently apart, forming half of ship. (You may need to pop up the center and smooth the sides to form the boat.).
Snip center of ship and slip in dowel for mast (use a dab of clay to stick dowel to table). Cut out square scrapbook-paper sails; make slits in top and bottom, and slide them onto dowel.
Top mast with a scrapbook-paper flag; secure it with double-stick tape. Tie on twine covered in triangular scrapbook-paper flags: Fold scrapbook paper, cut out triangles, and adhere to string with a small dot of glue.