No problem, your not bugging us. Thats what the forum is for, to share information. My furnace has a very small combustion area also. It is an oval shape, that sits vertical. The inside is lined with some sort of fire resistant material. I dont actually have bricks in mine, but from what I understand, this material gets red hot and helps with the combustion. I know mine isnt very far from the blast tube to the back of the furnace. I doubt it is 12 inches and it works just fine. I played around with different tip angles and ended going with a wider angle tip (I think. It has been a while). Its maybe not the optimal distance for burning waste oil, but I think it should work fine for you. I would concentrate on getting a heater block made, get a cartridge heater, PID controller, and thermocouple. Heat that oil up and shoot it in and see what happens. That is if you were thinking of staying with a pressure system.
One other question, how are you going to use the furnace? Will you just use it to heat up the garage once in a while, or are you going to want it to maintain a temp and leave it run all the time.
I just use mine to heat the garage up every so often. Sometimes every night. I start it and leave it run until it is 75 or so, then shut it off. Mine wouldnt work on a thermostat too well, as it requires a little hotter temp to get it started, then I manually turn down the controller to the normal temp. I think a siphon system might be a little better in that department.