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Using a spice grinder (my choice), mortar and pestle or a blender, grind the pistachios until smooth.
Transfer the ground pistachios in a large bowl and mix in the almond meal
Add the almond extract. Make sure to only add one or two drops.
In a small saucepan, combine the water and sugar and heat until the temperature reaches 115-120 degrees C, stirring constantly.
Immediately pour the sugar/water mixture into the nut mixture and mix quickly to prevent the sugar from crystalizing.
While mixing the mixture to form a paste (kneading with your hands is best), you may have to add more water in order to achieve a marzipan-like texture. Add only 1 teaspoon at a time. I ended up adding 3 teaspoons to achieve the desired results.
Wrap in plastic wrap and store in a plastic bag. Freeze for longest shelf life.
Makes about 12 ounces of paste.