The rheological behaviour of poly (oxyethylene) (10) hydrogenated castor oil dispersions was investigated by oscillation rheometry at 25°C as a function of dispersion concentration and frequency. HCO-10 dispersions were characterized in terms of viscoelastic parameters such as complex viscosity (η*), storage modulus (G') and loss modulus (G″). Based on the results, the following conclusions were drawn.The complex viscosity of HCO-10 dispersions is maximum around 70 wt%. Below this value, storage modulus is greater than that of loss modulus having a gel-like character. Above 70 wt%, loss modulus is greater than that of storage modulus, indicating possibly a liquid-like character.In addition, the viscoelastic parameters were compared with the results of aN' and S33 by ESR spin labelling, T1 relaxation time by NMR and long spacing by small angle X-ray diffraction. It became clear that immobilization of free water in the bilayer of HCO-10 vesicles is indispensable to the gel-formation of HCO-10 dispersions.