Chlorobutyl rubber nanocomposites containing organically modified nanoclay (CI-C) were prepared by solution mixing. The nanoclay used in this study was Cloisite 20A. The obtained nanocomposites were incorporated in butyl rubber (IIR) with sulphur as a curing agent. Morphology, curing characteristics, mechanical and gas barrier properties of the nanocomposites were analysed. The morphological studies proved the partial exfoliation along with agglomeration of nanoclay platelets in chlorobutyl rubber, and further incorporation of CI-C in IIR matrix enhance the exfoliation of the nanoclay platelets. Curing study demonstrated shorter scorch time, cure time and increase in maximum torque for the nanoclay loaded IIR compound in the presence of chlorobutyl rubber as a compatibiliser compared to pure and IIR-nanoclay compound without compatibilisers. Dynamic mechanical thermal analysis results showed tremendous improvement in storage modulus and decrease in tan δ value for the one containing a compatibiliser. This particular compound exhibited substantial improvement in mechanical and gas barrier properties.