We demonstrate a χ(2)-based in-line PSA with a carrier-recovery and phase-locking system for a phase shift keying (PSK) signal. By doubling the signal phase using a wavelength conversion technique, the carrier was recovered from a PSK signal. The carrier phase was synchronized to a local oscillator using optical injection locking. Phase sensitive amplification with a wide phase sensitive dynamic range of 20 dB was achieved using degenerate parametric amplification in a periodically poled LiNbO(3) (PPLN) waveguide. The phase regeneration effect was examined for a degraded signal by means of constellation analyses and bit-error rate measurements. The in-line PSA also operated successfully as a repeater amplifier in a 160 km fiber link without a power penalty. Finally, we demonstrate the regeneration of non-linear impairments induced by fiber non-linearity.