Two alloys containing different Mg contents have been used to study the combined effect of stirring and oxidation on microstructure and ductility. The results show that intensive stirring can sufficiently disperse the α-Al particles and enable better liquid feeding during solidification and consequently reduce the porosity. The morphology of the oxides is determined by the amount of both Mg and stirring. With lower Mg content, the oxides present as oxide films, which can be broken up during stirring. In alloy with higher Mg content, the oxides exist as particles with numerous cracks, and the particle size increases slightly after stirring. In the Magsimal 59 alloy, due to the presence of large clusters of pores in the fracture surface, the influence of the small oxide particles on the ductility is negligible. In contrast, in the 42000 alloy, large oxide films on the fracture surface are correlated with the ductility.