Ni-ceria cermets have been extensively investigated as candidates for the anode in intermediate-temperature solid oxide fuel cells. We have used the citric method to synthesize nanocomposite powders consisting of NiO (Ni metal content: $40{sim}60%$ by volume) highly dispersed in $Ce_{0.9}Gd_{0.1}O_{1.95}$ (CGO). The microstructure characteristics and sintering behaviors of the nanocomposites were investigated. No impurity phases were observed and the shrinkage of these substrates matched well with that of a CGO electrolyte with a specific surface area of $11;m^2/g$. Densification of the CGO electrolyte layer to $<5;{mu}m$ thickness was achieved by co-firing the laminated electrolyte with the porous NiO-CGO substrate at $1400^{circ}C$ for 6 h.