A DNA library of pRJ28, a large linear plasmid encoding mercury resistance, was constructed, and the mercury resistance genes were cloned. The 5,921-bp sequence was analyzed and showed a high degree of similarity to the Streptomyces lividans 1326 mercury resistance operon. Genes merR, merT, merP, and orfIV were found in a similar order and in a single transcription unit. merA and merB were found to be transcribed in the opposite direction to genes merR, merT, merP, and orfIV, as in S. lividans 1326. A novel putative regulatory gene, orfX, was found 22 bp downstream of merA. orfX encodes a 137-amino acid protein with a potential helix-turnhelix motif in the N-terminal domain, characteristic of the MerR family of transcriptional regulators. Transcriptional studies showed that orfX is cotranscribed with merA and merB. It is hypothesized that orfX plays a role in the regulation of the mercury resistance operon, probably by binding at the MerR operator site.Mercury resistance is widespread among prokaryotes, and resistance genes are often found on plasmids or transposons (11). The major mechanism of resistance is reductive detoxification of Hg(II) to elemental mercury Hg(0), which is extremely volatile and leaves the cell by diffusing through the cell membrane. The process is mediated intracellularly by a mercuric reductase (MerA). Mercuric ions are transported from outside the cell by a series of transporter proteins. MerP is an extracellular mercuric ion binding protein, and MerT is a membrane-anchored protein responsible for transporting Hg(II) into the cell. All gram-positive and some gram-negative systems are resistant to a broad range of mercuric compounds, including organomercurials like phenylmercuric acetate (PMA) (7). This ability is due to the presence of an organomercurial lyase (MerB) which cleaves the carbon-mercury bonds and releases Hg(II). Narrow-spectrum resistance is observed when the merB gene is missing (17). The systems are regulated by transcriptional regulator MerR. In all cases studied, with the exception of in Streptomyces lividans where MerR is a repressor (14, 16), MerR is an activator/repressor transcriptional regulator. In the presence of Hg(II), MerR binds Hg(II) and activates its own transcription as well as that of the other mer genes. In the absence of Hg(II), MerR binds tightly to an operator and represses the system (7). In a few mercury resistance operons, a second regulator gene, merD, is present and binds weakly to the MerR operator site. MerD has been shown to down-regulate the system (9, 10).We have previously described mercury-resistant Streptomyces strain CHR28, in which mercury resistance genes are encoded by the large linear plasmid pRJ28 (330 kb) (13). CHR28 is an environmental strain isolated from a heavily polluted site in the Baltimore Harbor and might have developed resistance and/or regulation mechanisms adapted to its environment which differ from those of S. lividans 1326. Mercury resistance genes of the laboratory strain S. lividans 1326 have previously been clone...