Your reference to "Everbuild KOS fire cement" suggests to me that you are in the UK, if only because I recognize the brand name.
It's always worth filling out your forum profile with any information that might help anyone responding to your posts to give information that helps you specifically.
The fire cement is probably not ideal: it is pretty dense, so takes a lot of heat input to get it to temperature, and is not a great insulator. As David says, you are much better off with some ceramic fibre blanket. The googling "coffee can forge" and "2 brick forge" advice is good too.
Propane torches certainly can work well, but there's usually a bit of a learning curve and a total novice may not have enough of a grasp of what is happening to be able to make the sort of progress that keeps their interest up.
It's important to understand that the air:fuel ratio is what controls the flame temperature (degC or degF) of a burner. The gas flow (which varies with the square root of the gas pressure, if using a fixed gas jet) controls the heat input (BTU/hr or kW).
Most Propane torches don't give any easy way to adjust the air:fuel ratio, so adjustment ends up as having to tweak the amount of air that can get in between the inside of the burner port and the outside of the burner. An even-slightly-experienced smith can usually tell by the colour whether it needs to be hotter or cooler. A complete novice probably can't. I use a thermocouple and handheld readout.
I did some messing about with a cheap MachineMart burner set a couple of years ago. By fitting the jet from the smallest burner into the biggest burner, opening up the air holes and cutting additional air slots with a grinder, I managed to get a nice forging temperature in a coffee-can-type forge with the burner fitting tightly.
http://www.machinemart.co.uk/shop/product/details/fc108-gas-torch-with-nozzles
I'd strongly recommend a "proper" Venturi burner design, if you can stretch to it. This gives easy air:fuel ratio adjustment at the Venturi and will save a lot of hassle.