Characterization of the 0 and precipitate phases formed in the aged Al-10 mass%Mg alloy with and without 0.5 mass%Ag at 200 C and 240 C has been carried out using TEM. The plate-like precipitate particles were formed in binary alloys aged from 2 h at 200 C. The plate-like particles had habit planes of f100g , and were identified as the 0 phase. Whereas the very fine scale, uniformly distributed precipitate particles with a spherical shape were formed as the dominant precipitate particle in ternary alloy aged at 200 C for periods of 4 h and 6 h. These small spherical particles were identified to be icosahedral phase while no icosahedral phase was observed in the Ag-free alloys when samples were aged at 200 C. Formation of a precipitate cluster consisting of two distinguishable parts has been observed in binary alloys aged 5 h at 240 C, and these precipitate particles were identified as the equilibrium and metastable 0 phases. Whereas a higher volume fraction of dispersed precipitate phases which comprised a mixture of a coarse-scale, rod-like particles and blocky particles, was observed in ternary alloy aged 5 h at 240 C. With further increase of ageing time up to 24 h at 240 C, the microstructure contained a high volume fraction of coarse-scale, globular precipitate particles, together with a secondary distribution of fine-scale spheroidal precipitates, these coarse globular particles were identified to be the equilibrium phase.