Marine shrimp shell, a member of the Caridean biological family, is an aquatic crustacean used in aquariums with a wide range of pharmacological activities. This study's success in the development of a natural resource of silver oxide/iron oxide nanocomposite (NCs) (AgO/Fe<sub>2</sub>O<sub>3</sub> NCs) prepared by combining a marine shrimp shell extract with Ag<sub>2</sub>NO<sub>3</sub> and FeCl<sub>3</sub> salt via a PLA (Nd-YAG) process. AgO/Fe<sub>2</sub>O<sub>3</sub> NCs are vital to antibacterial because they kill germs and maintain a disease-free environment. XRD analysis, FE-SEM pictures, TEM images, EDS, mapping, and FTIR spectra were employed to investigate AgO/Fe<sub>2</sub>O<sub>3</sub> NCs. The XRD data indicates that AgO/Fe<sub>2</sub>O<sub>3</sub> NCs have a face centre cubic F.C.C. structure with a range of crystallite sizes between 9.6 and 19.5 nm. Moreover, according to the FE-SEM data, the AgO/Fe<sub>2</sub>O<sub>3</sub> NCs' average diameters of 10 to 20 nm revealed a nano-spherical shape. According to TEM scans, AgO/Fe<sub>2</sub>O<sub>3</sub> NCs varied in size from 15.4 to 23 nm and were spherical with aggregation in form. Ag, Fe, and O occurrences were present in high-purity AgO/Fe<sub>2</sub>O<sub>3</sub> NCs, as demonstrated by the EDS spectra with their picture. In the FTIR spectra, peaks related to the symmetric stretching vibrations of Ag-O and I-O bonds can be seen at 726 cm-1. The inhibition zones of antibacterial AgO/Fe<sub>2</sub>O<sub>3</sub> NCs were evaluated using diffusion. The inhibition zones measured 29 to 13.5 mm for gram-positive bacteria <i>Staphylococcus aureus</i> and <i>Staphylococcus epidermidis</i>) and 40 mm for gram-negative bacteria (<i>Escherichia coli</i>); at <i>Candida</i>, the inhibition zone diameters (IZDs) value was 42 mm. To the best of the author's knowledge, combining marine shrimp shell extract with Ag<sub>2</sub>NO<sub>3</sub> and FeCl<sub>3</sub> salt using a PLA (Nd-YAG) approach is novel and hasn't been discussed in any research publications yet.