One of the most talked about theatre debuts at Edinburgh Fringe 2008, and the most popular of BAC’s Masque of the Red Death commissions - which hid away brilliant new theatre acts in its darkest corners, waiting to be discovered by the roaming punters - is Paper Cinema.

This extraordinary and highly original theatre company use projections of intricate, hand-drawn marionettes on to a white screen to tell a fairytale-like narrative, accompanied by improvised live music by Kora, and Paper Cinema enjoys an extended run at BAC over the next few weeks.

A twenty minute work-in-progress or “scratch” performance had audiences queuing round the block at Edinburgh’s BAC supported Forest Fringe venue and gained a Total Theatre Award nomination.

Night Flyer is the latest and most ambitious story written from this company, working at the juncture of theatre, puppetry, music, video technology and the art of cinema. The work, which continues to evolve, follows a hero crossing the night on a mysterious train, in pursuit of the lost flying girl of his dreams.

Another Paper Cinema tale, King Pest, was commissioned as part of Punchdrunk’s The Masque of the Red Death and was based on the short story by Edgar Allan Poe. It tells the story of two sailors on leave in London “during the chivalrous reign of the third Edward”. After a jolly night of drinking away their wages, they are forced to flee – “pump ship, clew up all sail, and scud before the wind” - seeking refuge in a sealed-off plague town. King Pest and Night Flyer will both be performed at each night of Paper Cinema’s run.

The Paper Cinema was born of the Bournemouth music scene, initially providing live visuals to flit behind live music at gigs and festivals, recently becoming a cult hit at Glastonbury, Edinburgh and Latitude, and going on to play in a variety of venues across the country.

As the illustrator and creator Nic Rawling has grown more confident in the skill with which he crafts his tiny worlds the relationship with music has slowly started to change. Now it is more frequently the music that is supporting the storytelling, subtly underscoring the action and contributing hugely to the woozy, late-night feel of this unique company.

As the Guardian’s grand dame of theatre reviewing, Lyn Gardner, said: “The pleasure here is not just that the animations are both sinister and enchanting, or that the wonderful music gives the whole thing the feel of a quirky silent movie, but also that you can see how the show is being made right before your eyes.“ As for the musical accompaniment, Kora provide the perfect soundtrack, performing live, semi-improvised music to cinema and theatre, building soundscapes to fit the mood and action of the work using a variety of instruments (viola, guitar, dulcimer, accordion, cello) and styles (kletzmer, West African, minimalist, flamenco).

The Paper Cinema; Battersea Arts Centre, Lavender Hill, SW12 5TN; September 18-20, 25-27 and October 2-4, 9pm, £8/£5. Call 020 7223 2223 or visit bac.org.uk for booking. Visit thepapercinema.com for more info.