I just used the hand tool and die with a hammer to set the rivets ( http://www.knifekits.com/vcom/product_info.php?cPath=41_57&products_id=1564 ). Only one side is really presentable, but once you do it a few times it doesn't look that bad. As for heating the kydex, heat gun works fine for me. Just don't hold the gun too close or in one spot for too long and you'll be fine.

I used a guy called Marion Poff. He was very reasonable with his prices and has many knives so you don't always have to send him yours. The sheath he made for me seems to be very good but he took a more time than expected to get the thing to me.

He does not have a great website. It's more of a blog listing his offerings. See: http://marioncarry.blogspot.com/2009/12/recent-sheaths.html

Well, I'm thinking I might use some 2" webbing I've got to rivet on a 4-way belt loop. But mostly, I want to be as thin and simple as possible as these are mostly pocket knives for me. Although I might pick up a Nite Ez eClipse clip for one of the sheaths

One of the big reasons for this is so that I can have something other than a Marble Fish and Bird knife in my PSK- these are a little shorter, but with a lot more blade. I am experimenting with using a cord loop or a fob to extend the functional length of the handle, much like the RSK-5.

So... It is looking like I can get the hand rivet tools, rivets and a sheet of kydex to get started for about $35. And if there are left overs, hmm.....

Have you ever ordered from usaknifemaker.com- the look like they might have better prices in small quantities than knifekits, but they don't seem to have much of a presence.

Ironraven,
No I did not ever see the site befor you posted it. Any chance you could clear out your PM folder so I could send you a PM reguarding this subject.

If you're looking for small, kydex typically won't give you the best option. Leather or nylon is better. Kydex always has that big ole' seam that's sealed shut, typically with a ton of rivets in it.

Maybe that can be changed if you have your own set, but personally I hate every kydex sheath I've owned. Even the cheapie plastic Mora sheaths are at least small and lightweight.

Oh, sorry I don't have any kydex suggestions for you.