PQQ is an exogenous, tricyclic, quino-cofactor for a number of bacterial dehydrogenases. The final step of PQQ formation is catalyzed by PqqC, a cofactorless oxidase. This study focuses on the activation of molecular oxygen in an enzyme active site without metal or cofactor and has identified a specific oxygen binding and activating pocket in PqqC. The active site variants H154N, Y175F,S and R179S were studied with the goal of defining the site of O2 binding and activation. Using apo-glucose dehydrogenase to assay for PQQ production, none of the mutants in this “O2 core” are capable of PQQ/PQQH2 formation. Spectrophotometric assays give insight into the incomplete reactions being catalyzed by these mutants. Active site variants Y175F, H154N and R179S form a quinoid intermediate (Figure 1) anaerobically. Y175S is capable of proceeding further from quinoid to quinol, whereas Y175F, H154N and R179S require O2 to produce the quinol species. None of the mutations precludes substrate/product binding or oxygen binding. Assays for the oxidation of PQQH2 to PQQ show that these O2 core mutants are incapable of catalyzing a rate increase over the reaction in buffer. Interestingly, H154N can catalyze the oxidation of PQQH2 to PQQ faster than buffer, but only with H2O2 as an electron acceptor, not with O2. Taken together, these data indicate that none of the targeted mutants can react fully to form quinone even in the presence of bound O2. The data indicate a successful separation of oxidative chemistry from O2 binding. The residues H154, Y175, and R179 are proposed to form a core O2 binding structure that is essential for O2 activation.