Nanocrystalline CdS particles with a size range of 8-30nm and mean size of about 14nm were synthesised following a water-in-oil type emulsion technique under mechanical agitation and sonication. An ionic impurity-free nonionic surfactant of high hydrophilic-lipophilic balance (HLB) value of 15, i.e. polyoxyethylene sorbitan monooleate, was used as the emulsifying agent. The effects of Cd2+ ion concentration, mechanical agitation, sonication and calcination temperature on particle formation were examined. The synthesised particles were characterised by transmission electron microscopy (TEM), particle size analysis, X-ray diffraction (XRD) and photoluminescence (PL) study. TEM indicated the formation of nanosized particles.