The naphthyridinomycin biosynthesis enzyme NapI selectively performs the desaturation of a free L-arginine amino acid at the C 4 −C 5 bond as part of its antibiotic biosynthesis reaction. This is an unusual reaction triggered by a nonheme iron dioxygenase as most L-Arg activating nonheme iron enzymes cause substrate hydroxylation at an aliphatic C−H bond; hence, this reaction has great potential in biotechnology for the efficient synthesis of drug and fragrance molecules. However, desaturation reactions in chemical catalysis are challenging reactions to perform as they often require toxic heavy metals and solvents. Its enzymatic biosynthesis would provide an environmentally benign alternative. To find the biotechnological application of NapI, we performed a computational study on the enzyme. However, the catalytic mechanism of L-Arg desaturation by NapI is controversial and several possible mechanisms have been suggested via either radical or charge-transfer pathways. We set up an enzymatic structure from the deposited crystal structure coordinates of substrate-bound NapI and inserted co-substrate (α-ketoglutarate) and solvated the structure in a water environment. Thereafter, we set up a series of quantum mechanics/molecular mechanics calculations and validated the results against experimental data. Subsequently, we investigated the mechanisms leading to C 5 -and C 4 -hydroxylation and C 4 −C 5 -desaturation of L-Arg via radical and charge-transfer pathways. The calculations give a rate-determining hydrogen atom abstraction step that is lowest for the C 5 −H position and gives a radical intermediate, although the hydrogen atom abstraction from the C 4 −H group is less than ΔG = 2 kcal mol −1 higher in energy. The calculations show that isotopic substitution of key C−H bonds with C−D changes the product distributions dramatically. The C 5 radical intermediate gives bifurcation pathways with a small second hydrogen atom abstraction from the C 4 −H group and a much higher OH rebound barrier. We also located a charge-transfer intermediate of an iron(II)-hydroxo species with a cationic substrate, but its kinetics and thermodynamics with respect to the radical intermediate make it an unviable mechanism. A comparison with alternative hydroxylating enzymes identifies key differences in substrate orientation and positioning and their second coordination sphere interactions with protein that induces a different dipole and electric field direction. Our work shows that the desaturation of L-Arg is governed by the substrate-binding orientation and the polarity and hydrogen bonding interactions in the substrate-binding pocket that guides the reaction to desaturation products by locking the iron(III)-hydroxo group in position. Our understanding has given valuable insight into enzymatic reactivity and may help to design and engineer enzymes better for highly selective reaction processes in biotechnology.