Understanding the structure of the reproductive system of fishes for commercial production allows the development of productive strategies. In the present study, the histochemistry of the oogenesis of Mugil cephalus in the natural habitat was investigated. The oocyte development was followed up via both histological and histochemical techniques during the ovarian cycle of M. cephalus in Bardawil Lagoon. During ovarian development, only one set of oocytes was annually found. Five stages of oocyte development were identified in M. cephalus; namely, primary, vesicles, primary yolk, secondary yolk, and tertiary yolk oocytes. Yolk deposition occurred during four (vitellogenic) stages, including vesicles, primary yolk, secondary yolk and tertiary yolk oocytes. The histological and histochemical findings revealed that three types of yolk inclusions are formed during vitellogenesis. These included lipid yolk droplets, yolk globules and cortical granules. Lipid yolk droplets were deposited first, followed by yolk globules and cortical granules. The former inclusions had lipoid nature; the cortical granules consisted of polysaccharides, while yolk globules contained both proteins and polysaccharides. Such analysis should provide a basis for the study of the endocrine control of vitellogenesis in oocytes and give important information for hatchery management for inducing the spawning of M. cephalus in aquaculture systems.