A modified ergosterol analysis method, including a simultaneous saponification and refluxing extraction procedure along with HPLC quantification, was used to measure fungal colonization rate in wood. In liquid media the ergosterol content of the mycelia was measured and correlated to the fungal dry weight. In work on investigating staining fungal proteinase production on wood, ergosterol values were used to monitor fungal growth and to determine when maximum proteinase activity occurred. Similarly, we correlated ergosterol values with the decrease of wood lipids during pitch control fungal colonization.