It's pretty simple to go through all files in a directory, just have a look att php.net for the function opendir for a quick example, or search for "php list files in directory" on Google.
After that, you'd have to create a thumbnail for every image. Now, I dont know what you wanna do with them, but if you're going to be looking at them alot you may want to create a permanent thumbnail picture (save it in some directory). Otherwise, if you're only going to do this once, it may be enough to just set a width and height (with html or css) to the <img> tag and simply show all images that way.
If your going to create a thumbnail you're going to need some functions for that. You can find all image function in php here, http://se2.php.net/manual/en/book.image.php
But it's probably much simpler to search Google for "php make thumbnail", it's really not that hard 
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