Actinomycetes were isolated from skin, gills and gut contents of estuarine fish. Chanos chanos using Kuster's agar medium. Out of 20 strains tested, the strain LG-10 which was tentatively identified as Streptomyces rimosus showed L-glutaminase activity. Optimum production of L-glutaminase enzyme (17.51 IU/ml) was observed after 96 h of incubation at 27 degrees C, pH 9 and glucose and malt extract as carbon and nitrogen sources, respectively. The present study indicated scope for the use of S. rimosus as an ideal organism for the industrial production of extracellular L-glutaminase.