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Geranylgeraniol (GGOH) is an acyclic diterpene that posesses apoptotic activity to cancer cells [1]. It has been proposed to be the main intermediate of the biosynthetic pathway of plaunotol, an antipeptic ulcer drug from Croton stellatopilosus [2]. Our enzymological studies showed that GGOH is formed from the dephosphorylation of geranylgeranyl pyrophosphate (GGPP), through sequential monodephosphorylation [3], by the action of GGPP phosphatase enzyme [4]. As part of our interest in manipulating the gene of GGPP phosphatase for the production of GGOH in Escherichia coli system, we began with cloning of cDNA encoding prenyl diphosphate phosphatase from C. stellatopilosus. The degenerated primers were designed from the alignment of amino acid sequences of prenyl diphosphate phosphatase in database. The full-length gene was obtained by RACE-PCR. The cDNA contained an open reading frame encoding 888 amino acids with a calculated molecular mass of 33.6 kDa. The phosphatase motif [5] was included in the deduced amino acid sequence consisting of KX6RP, PSGH, and SRX5HX3D. Its amino acid sequence showed 71% identity to phosphatidic acid phosphatase from Vigna unguiculata. The topology prediction of the enzyme indicated that it was a transmembrane protein with 6 transmembrane regions. The recombinant prenyl diphosphate phosphatase and its 4 designed truncated genes were expressed in Escherichia coli BL21(DE3)RIL. Detection of their phosphatase activities by using [1-3H]GGPP and farnesyl pyrophosphate ([1-3H]FPP) as substrates showed that their enzymatic products of [1-3H]GGOH and [1-3H]FOH, respectively, were formed in the assay mixture. The results suggested the potential of GGOH production by the recombinant E. coli although the expression of the recombinant gene was still in low level.