The system used was the plat gel 10 from polytek with the Smiths Theatrical Deadener added to soften the product and turn it in to a gel.
www.theeffectslab.com is a good place to go for info on how to work with these materials.
I also do a sewries of DVD's that cover working with plat gel 10 silicone gel appliances. These are available from
www.mfxreplicas.com and also
http://www.bitymoldsupply.com/ in the US
who also supply plat gel 10
The way these appliances where produced was by making patterns like you would for a costume. These patterns were laid out on boards and the scales sculpted as a flat pattern. Moulds were then made of these flat patterns and then the appliances cast from these flat open backed moulds. Once the appliance was adhered to the skin it would re-confrom to the body shape.
Latex is less than ideal for this job as it is too stiff and inflexible and tends to come away form the skin easily as the subject moves around. Embarrassing for Mystique if she starts shedding her scales only 5 minutes after their being glued on.
Cheers
Neill G