I agree with Randy here. Actually, Norton honing oil is exactly what I use when mixing chrome ox and applying the mixture (just like you've said it is like a thin paint) to balsa, basswood, etc.
As a related aside, I don't like "painting" leather strops with this mixture, only wood. Why? The oil alters the draw of the leather and the chrome ox powder is so fine that it's easily rubbed into dry leather with no need of a carrier; just wipe off the excess dry powder. As an aside related to this aside, I personally don't care for using chrome ox on a hanging strop. For me it's too easy for edge rounding to be a factor for me. I think stropping technique can come into play here.
Chris L