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As said above, the plaster and sand mix is just not up to the job. I've built one of those things early on and I lined it with an insulating ceramic fiber mat like Inswool or Kaowool covered with a mortar to keep the ceramic fibers from flying in the air. Using a hand held torch as your heat source is about as expensive as you can get. You'll burn up a few of them for each knife that you forge and that's only if you keep your knives small. You really need a burner hooked up to at least a 20 lb tank. It would also be a real good idea it that forge had a port on the back so it can breath better.
I haven't seen Ray's video but I'm willing to bet that it's well worth the money.
Doug
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If you're not making mistakes then you're not trying hard enough
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