Streptomyces, isolated from marine and estuarine habitat have been widely recognized as a potential source of antifungal, anti-tumour, anti-bacterial compounds. In the present study, the antimicrobial agent production potential of a Streptomyces cinereoruber sp was evaluated. The selective isolation of the strain was carried out on starch casein agar. The primary screening of the Streptomyces isolate was done by cross streak method against pathogenic test strains Escherichia.coli MTCC 82, Staphylococcus aureus MTCC 96, Bacillus cereus IP406 and Salmonella typhi MTCC 734 and Micrococcus leuteus and the antimicrobial property against Micrococcus leuteus was confirmed. The secondary screening was carried out by using the culture supernatant against the test strain by agar well diffusion method. The growth and antimicrobial production ability of the strain against Micrococcus leuteus was studied. The antimicrobial agent production was also observed till pH 11 and NaCl concentration 3% (w/v). The partially purified compound showed a peak similar to streptomycin in HPLC. The culture condition for the production of the compound was optimised.