Hi people, iv just build a new site which contains thousands of pages, i submitted the site map and so far it has indexed 120 pages. I basically going to keyword all the urls to friendly urls although i don't know whether i need to do a 301 redirect?

Reason i am asking is these categories have not been indexed yet, indexing other pages where keyword urls are not needed, really would like help on this, worried big time.

I would focus on getting true content pages indexed. If you more location of them, then yes, be sure to make 301 redirect and upload new XML sitemap. I don't personally think "category" etc. are as important as getting indexed as true content pages/posts.

I would recommend you look for the answer at the Google Webmaster Tools site.

In general, there are two types of sitemaps. The first type of sitemap is a HTML page listing the pages of your site - often by section - and is meant to help users find the information they need.

XML Sitemaps - usually called Sitemaps, with a capital S - are a way for you to give Google information about your site.