It isn't rocket science and I'll be up front in saying that this project is probably more about using the right(purpose made) materials than any clever technique.
Step 1: The stuff
You can order those online or find them at most any scrap-booking store.
The PVA glue is designed to bond paper like no other glue I have ever encountered and book binders cloth is designed to take a lot of abuse from handling and bending as well as having a paper backing that lends itself to working with PVA.
You'll also need a broken book to repair. I'll leave that up to you.