I suggest you paint all the wainscoting before deciding what to do with the fireplace.
How to hide half wall wood paneling.
Maybe a deeper blue green or dark cream from the rug.
Cover the entire wall with sheet metal.
If half or two thirds of the surface were paneled it wouldn t work nearly as well.
It is a wall covering that is.
Ventilate the room with open windows or fans.
Check all product labels for safety information.
Grab some drywall compound at your local home improvement store then use it to fill in the distinctive cracks and lines of the wood paneling.
I would definitely paint it but would use a third color not the white of the cabinets nor the grasslands of the wall.
Move all furniture well away from the paneling and cover the floor with drop cloth.
Gloves and a face mask are recommended especially if you re working with a large area or in a room with poor ventilation.
Paintable wall covering paintable wallcovering is available in many patterns and textures manufactured to hide cracked walls old paneling and cinder block.
Hgtv star chip wade shows you how to modernize old school wood paneling with paint for more follow the hashtag rachaelrayshow.