Carbamoyl phosphate is required for arginine and pyrimidine synthesis. In the arginine pathway, it is used in the ornithine transearbamoylase (EC 2.1.2.1) reaction; in the pyrimidine pathway, it is used in the aspartate transcarbamoylase (EC 2.1.3.2) reaction. In Neurospora crassa, two pathway-specific enzymes catalyze the synthesis of carbamoyl phosphate, and two pathspecific pools of carbamoyl phosphate are maintained. Histochemical studies show-that ornithine transcarbamoylase is located in mitochondria, and, with less certainty, that aspartate transcarbamoylase is confined largely to nuclei. The enzymes that form carbamoyl phosphate are associated with the respective transcarbamoylases in the cell. Therefore, the segregation of carbamoyl phosphate pools could be accounted for by one or both organellar membranes, which demarcate two separate sites of carbamoyl phosphate metabolism in Neurospora. The alternative possibility that the enzyme complex that produces and consumes carbamoyl phosphate in the pyrimidine pathway could explain the channelling of carbamoyl phosphate, wholly or in part, is discussed.Nonrandom distribution of metabolites within cells as a factor in their metabolic fates is known as channelling. Several compounds involved in oxidative phosphorylation are confined to mitochondria, and certain enzyme aggregates appear to retain intermediates in the course of sequential reactions. The metabolism of carbamoyl phosphate (carbamoyl-P) in eukaryotes has recently been studied in relation to channelling (1-3). Carbam6yl-P is an intermediate of the arginine and pyrimidine pathways, used, respectively, by ornithine transcarbamoylase (OTCase: carbamoylphosphate: ornithine carbamoyltransferase, EC 2.1.3.1) and aspartate transcarbamoylase (ATCase: carbamoylphosphate: aspartate carbamoyltransferase, EC 2.1.3.2). Eukaryotes, in contrast to bacteria, have two enzymes for carbamoyl-P synthesis. In Neurospora crassa, both are glutamine-dependent carbamoyl-P synthetases (EC 2.7.2.5). Studies with mutants lacking one or the other of the synthetases show that one (carbamoyl-P synthetase A) has a specific role in the arginine pathway, while the other (carbamoyl-P synthetase P) functions solely in the pyrimidine pathway (1, 4, 5). These studies suggest that two discrete pools of carbamoyl-P are maintained, since mutants lacking one of the synthetases have an absolute and specific requirement for the corresponding end-product, either uridylic acid or arginine. More direct evidence that supports this view has been published (2).In mammals, it was established that citrulline synthesis (OTCase and carbamoyl-P synthetase I, which uses ammonia as an N donor) was largely a mitochondrial function (6, 7). Carbamoyl-P synthetase II and ATCase were apparently localized in the high-speed supernatant or light membrane fraction of mammalian tissues according to differential centrifugation studies (8). Recent histochemical localization of OTC in mitochondria (and possibly in the cytosol) of rat hepatocytes has been demons...