Paraffin is what you colonials call wax. It's actually kerosene, but because we're civilised we call it by it's proper name - paraffin
Truth to tell though, I've cleaned up many an old oilstone and WD40 works a treat. I've never used one dry or with water though after it has been impregnated with oil. The oil will still work it's way out, and mixed with water, will just make it gunky again but much quicker.
One of the best lubricants I've ever found for oilstones is a 50/50 mix of kerosene and two stroke engine oil. Put in a small bottle that'll spray a fine mist, shake the bottle and just lightly spray on the oilstone before using it with a blade. Then wipe off afterwards with a piece of kitchen towel and that's it.
Eric