The measurement and evaluation of MgO solubility in the molten fluoride system is of significant importance in the recently proposed magnesium electrolysis reduction process. In the present study, an in-situ quantitative method of evaluating the concentration of dissolved MgO in molten fluoride is proposed. The MgO solubility in the 32.8MgF2–67.2LiF system was measured at 1083 and 1123 K using a combustion analyzer. MgO saturation was achieved in under 2 h, and higher solubilities were observed as the temperature increased. Thermodynamic assessment was carried out in order to ascertain the applicability of the electrochemical oxygen sensor, which indicated that the logarithm of oxygen concentration in molten fluoride has a linear relationship with the measured electromotive force (EMF) potential. The EMF potential of the controlled MgO concentration was measured, and a straight calibration line was obtained, describing the relationship between the measured EMF and the logarithm of MgO concentration. From the obtained calibration line, MgO concentration in the 0.4 wt% MgO was calculated. The calculated value was 0.44 wt% that was in excellent accordance with the controlled MgO concentration of 0.4 wt%, verifying the practical applicability of electrochemical oxygen for the in-situ monitoring and evaluation of MgO solubility in the electrolysis magnesium reduction process.