My first attempt at making a sheath turned out pretty well, so I thought I would share the process with you. Everyone has slightly differing methods and designs, but this worked okay for me.
Note: Since 2013 I have made some more of this style of sheath with some refinements.
See the BC8 Bushcraft Knife Sheath post for a better example with some updated techniques.
Cement the welt in place after stitching the belt loop. I used LePage contact cement.
Ta da! All in a few hours work. A good rubbing of dubbin and we're ready to show.
After the shape is formed.
I found this link to a great sheath making tutorial: http://awknives.blogspot.com/p/blog-page_15.html