All right, I did a little inspecting of how condor.lgp works, and you're right, it does use a different p file for each frame of animation.
In order to insert battle models you are going to have to export the whole model to a .obj (or whatever your favorite format is for 3d modeling) then open it up in your 3d program (blender, 3dsmax, maya, etc) and manually move each part of him to fit the next p file animation frame.
Then export the whole model as a single .3ds file, and convert it to a single p file using pcreator.
Then open up your 3d program again, move him a little, export as 3ds, and convert him to the next p file.
There is currently no way to export animation files that I know of, so you have a long tedious task ahead of you. Good luck!