This paper reports the dispersion of nanoclay in vinylester using co-rotating twin screw extrusion and ultrasonication for preparing nanoclay/vinylester gel coat. Two sets MMT/vinylester specimens, namely Type 1 and Type 2 were prepared for comparative studies. While Type 1 specimens were prepared using ultrasonication only, Type 2 specimens were prepared using both ultrasonication and twin-screw extrusion. Type 2 specimens showed lower levels of nanoclay intercalation and higher levels of exfoliation. By using the MMT/vinylester gel coat so prepared by the two different routes, MMT/vinylester/glass specimens were fabricated and tested for mechanical properties. Type 2 based nanocomposite specimens showed greater values of ultimate tensile strength, flexural strength, interlaminar shear strength and impact strength. Scanning Electron Micrographs (SEM) of tensile fractured Type 2 based specimens showed less agglomeration of nanoclay than that of Type 1 based specimens.