I'm not sure which panels you are referring to, but peel and stick is probably not a good idea. Could you please post a photo and we may have some suggestions for you?

By code, the 12" around the fireplace opening must be fire resistant, so I do not think the peel and stick is a solution.

I could offer more suggestions with a picture. If you have a brick fireplace, consider having a decorative painter come and do a faux finish on it for a whole new look. A more expensive alternative would be to cover the face with a stone veneer and maybe a new slate or granite for the hearth.

A picture would really help with suggestions on how to resurface your fireplace.

Fireplace Picture coming soon