Pallets are made of the cheapest unseasoned, untreated timber available. After all they're only intended to stack things on and make transporting with a forklift easier. But this low quality wood has certain benefits over the treated, seasoned and stained variety. It's natural rustic appeal is one, the extremely low cost you can lay your hands on damaged pallets, is another.
If you're an electric jigsaw or the old fashioned hand operated version for the traditionalists, a pencil, an old pallet and a little imagination – you have almost everything you need. Perhaps a little No More Nails or wood glue to secure the timbers to the wall and some sandpaper to finish the areas you cut.
Simply draw your design on the end of each timber with a pencil. You might like to cut card stencils if yu are not confident to draw these freehand. A stencil will also be handly if you want to repeat the design on several timbers. Once you are happy with the design cut around on each timber, sand to ensure there are no rough edges or splinters and secure to your wall.