Cholesterol biosynthesis from DL-[2-14 C]mevalonic acid ([l4C]MVA) was demonstrated in ovine ovarian foIlicles and isolated thecal tissues and granulosaI ceIls incubated in vitro. Thecal tissues more readily synthesized cholesterol than did granulosal ceIls when incubated separately, but in the intact follicle the newly synthesized cholesterol distributed evenly between the two tissue layers, indicating that the theca could act as a supplementary source of cholesterol for the granulosal ceIls.Human chorionic gonadotrophin (hCG) added to the incubation medium was found to inhibit cholesterol biosynthesis from P 4 C]MVA by intact foIlicles and isolated thecal tissues, but not granulosal ceIls. This hCG-induced inhibition was evident in whole foIlicles incubated for 12-48 h, but not at 3-6 h, and was demonstrated in thecal tissues incubated for 3 h. In all cases where inhibition of cholesterol biosynthesis was observed, 1 4C label accumulated in a product characterized by thin layer and vapour phase chromatography as lanosterol, implying that the hCG block lies between lanosterol and cholesterol. Treatment of foIlicles with hCG also reduced the amount of 14C label incorporated into the cholesteryl ester fraction. These changes were accompanied by a corresponding reduction in the tissue content of cholesteryl ester, but there were no changes in the specific activities to indicate that newly synthesized cholesteryl ester was used selectively as a substrate for progestin biosynthesis.