Thresholding is an efficient step to extract quantitative information since the potential artefacts are often introduced by the point-spread effect of tomographic imaging. The thresholding value was previously selected only relying on engineering experience or histogram of tomographic image, which often presents a great challenge to determine an accurate thresholding value for various applications. As the tomographic image features often do not provide sufficient information to choose the best thresholding value, the information implicit in the measured boundary data is introduced into the thresholding process in this paper. A projection error, the relative difference between the computed boundary data of current segmentation and the measured boundary data, is proposed as a quantitative measure of such image segmentation quality. Then, a new multistep image segmentation process, called size projection algorithm (SPA), is proposed to automatically determine an optimal thresholding value by minimising the projection error. Results of simulation and experiment demonstrate the improved performance of the SPA-based tomographic image segmentation. An application of size projection algorithm for gas-water two-phase flow visualisation is also reported in this paper.