Water conservation and energy metabolism in a semiarid-area, neotropical marsupial (Monodelphis domestica) were studied in the laboratory. 2. The rate of energy consumption in this species is low, corresponding with results reported for Australian and other neotropical marsupials. 3. Evaporative water loss rate is low and comparable to that of several desert small rodents, when body size differences are taken into account; however, the ratio of metabolic water production-to-evaporative water loss is lower than in the rodents. 4. Urine osmotic, urea, and chloride concentrations in water-stressed animals are within the range of values reported for some arid-area granivorous rodents, for insectivorous/carnivorous Australian marsupials, and for a North American insectivorous desert rodent. 5. Water-balance computations indicate that this species should be able to maintain water balance at 25 degrees C on a high-protein diet with a water content of about 60% without access to drinking water; this water requirement is comparable to that of ecologically similar marsupials and placentas in arid areas of other continents.