Recently, sensorless controls, which eliminate position and speed sensor in a permanent magnet synchronous motor drive, have been much studied. Most sensorless control algorithms are based on the back-EMF and speed estimations which are obtained from the voltage equations. Therefore, the sensorless control performance is largely affected by the parameter errors of a motor. This paper investigates a novel adaptive control with the parameter error compensation for the speed sensorless control of a permanent magnet synchronous motor. The proposed parameter estimation is obtained from the d-axis current error between the real and estimated currents. The proposed algorithm is verified through the simulation and experimentation.