Below is a sample code to create new line featureclass in featureclass, pSampleFC is a reference featureclass used to provide spatial reference for newly created feartureclass.

Code
Private Function CreateLineFeatureClass(pFeatureWorkspace As IFeatureWorkspace, FCName As String, pSampleFC As IFeatureClass) As IFeatureClass
Dim geodataset As IGeoDataset
Set geodataset = pSampleFC
'Setup GeometryDef
Dim pGeomDef As IGeometryDefEdit
Set pGeomDef = New GeometryDef
With pGeomDef
.GeometryType = esriGeometryPolyline
Set .SpatialReference = geodataset.SpatialReference
End With
'Setup fields
Dim pField As IFieldEdit
Dim pFieldsEdit As IFieldsEdit
Set pFieldsEdit = New Fields
'Geometry field
Set pField = New Field
pField.Type = esriFieldTypeGeometry
Set pField.GeometryDef = pGeomDef
pField.Name = "Shape"
pFieldsEdit.AddField pField
'ID field
Set pField = New Field
pField.Type = esriFieldTypeDouble
pField.Name = "ID"
pFieldsEdit.AddField pField
'create the object id field
Set pField = New Field
pField.Name = "OBJECTID"
pField.Type = esriFieldTypeOID
pFieldsEdit.AddField pField
Set pField = New Field
pField.Name = "LAYER"
pField.Type = esriFieldType.esriFieldTypeString
pFieldsEdit.AddField pField
'Create the FeatureClass
Set CreateLineFeatureClass = pFeatureWorkspace.CreateFeatureClass(FCName, pFieldsEdit, Nothing, Nothing, esriFTSimple, "Shape", "")
End Function