Particulate reinforced magnesium matrix nanocomposite prepared with semisolid stirring assisted ultrasonic vibration was subjected to extrusion at 350°C with an extrusion ratio of 12:1. Extrusion of the SiCp/AZ91 nanocomposite induced large scale dynamic recrystallization resulting in a fine matrix microstructure. There were two kinds of zones in the extruded nanocomposite: SiC nanoparticle bands parallel to the extrusion direction and refined-grain zones between the SiC nanoparticle bands. In the SiC nanoparticle bands, there were SiC nanoparticles along the boundaries of refined grains. The distribution of SiC nanoparticles was uniform although some agglomerates of SiC nanoparticles still existed in the SiC nanoparticle bands. The ultimate tensile strength, yield strength and elongation to fracture of the SiCp/AZ91 nanocomposite were simultaneously improved by extrusion. Results from the extruded SiCp/AZ91 nanocomposite tensile testing at different temperatures (75, 125, 175 and 225°C) revealed an increase of the tensile strength and ductility values compared with the unreinforced and extruded AZ91 alloy.