This research focuses on the preparation, characterization and catalytic properties of novel magnesium oxide in mesoporous MCM-22 Silica (MgO/MCM-22) for biodiesel production from jatropha oil. The catalysts were prepared by impregnation method and characterized. Then, the catalyst were tested for biodiesel production from jatropha oil where the reaction parameters were studied. The obtained results of the characterization showed that, the prepared catalyst has an amorphous structure with high Si/Al ratio which changes to a more of crystalline structure after successful incorporation of MgO. The result of the transesterification shows that, magnesium oxide (MgO) supported with silica is highly effective for the production of biodiesel where the high fatty acid methyl ester of 98 was achieved. Furthermore, the synthesized catalyst was able to be used up to three times with a slight reduction in catalytic activity. Hence, it can be concluded that the catalyst prepared from MgO/MCM-22 can serve as an outstanding alternative catalyst for biodiesel production. © 2018 Japan Institute of Energy. All rights reserved.