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Here are 2 pencils I turned this last weekend. One is from an acrylic whose colored name is Fire and Ice. The other is from a piece of spalted wood. Each style of material has its own features and drawbacks. The acrylic pencil is for my daughter, the wood for myself.
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The bore I drilled for the brass tube was 29/64, which is pretty big. I then ran sandpaper through the bore to enlarge it slightly, as the tube itself was about a hundredth larger than 29/64. I had to start with a 3/4 inch square block, no cheating on the size like I do with the 7mm stuff. Neither was difficult to turn, and I started with a roughing gouge and then switched to a skew for both pencils. The whole process took less than 2 hours, including time to epoxy the tubes in the holes I drilled and resharpening the skew. Very satisfying.
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Enjoy, but be careful of the splinters.