Water pollution by synthetic dyes, particularly acid black 1, poses a significant environmental challenge. The present study has addressed this issue by synthesizing novel magnesium oxide (MgO) nanocomposites using extracts from Padina sanctae crucis (Psc) and Sargassum hystrix (Sh) algae via a sol-gel process. The primary objective was to evaluate the efficacy of these nanocomposites in removing acid black 1 dye from aqueous solutions. The synthesized materials were characterized using Fourier transform infrared spectroscopy (FT-IR), energy dispersive X-ray spectroscopy (EDS), scanning electron microscopy (SEM), X-ray diffraction (XRD), Brunauer-Emmett-Teller (BET) analysis, thermal gravimetric analysis (TGA), and dynamic light scattering (DLS). The results show the successful synthesis of MgONPs and MgO@Sh and MgO@Psc NPs with approximate sizes of 45.64–65.64, 52.14–59.09 and 39.19–58.30 nm. Batch mode experiments were conducted to assess the influence of contact time, pH, and adsorbent dosage on dye removal efficiency. The results demonstrated that at pH 6, increasing the adsorbent dosage from 0.5 to 2 g/L enhanced the dye removal efficiency from 41.6% to 59.1% for MgO@Psc and from 43.4% to 64.1% for MgO@Sh. The Sips isotherm model and intra-particle diffusion kinetic model provided the best fit to the experimental data. The negative values of ΔG° indicated, which the adsorption process is more spontaneous at higher temperatures. This study highlights the potential of MgO@Psc and MgO@Sh nanocomposites as effective adsorbents for acid black 1 removal, offering a promising solution for water purification.