The psaC genes of the cyanobacterium, Synechococcus sp. PCC7002, and of the cyanelle genome of the phylogenetically ambiguous biflagellate, Cyanophora paradoxa, were cloned, mapped and sequenced. The PsaC proteins of both species exhibit high degrees (approx. 95%) of sequence similarity to the PsaC proteins of other cyanobacteria as well as the chloroplast-encoded proteins of green algae and higher plants. The Synechococcus sp. PCC7002 psaC gene is transcribed as a monocistronic mRNA of approx. 350–400 nt, and transcription is initiated 51 nt upstream from the translational start codon. As found for the chloroplasts of higher plants, the C. paradoxa psaC gene is encoded within the small single-copy region of the cyanelle genome. In contrast to results obtained for chloroplasts and for the cyanobacterium Synechocystis sp. PCC6803, neither psaC gene is flanked by genes encoding components of the NAD(P)H dehydrogenase complex.