The invention discloses a liquid air separation device and method for extracting medium pressure oxygen. An air compression system and a pre-cooling system are connected with a purification system, the purification system is connected out and forms a direct current channel, a pressurization channel and an instrument air supply channel, the pressurization channel is sequentially connected with a pressurization system and a heat exchange system, the direct current channel is directly connected with the heat exchange system, the heat exchange system is connected with a distillation system througha plurality of pipelines, the liquid air separation device further comprises an automatic control system, and the pre-cooling system, the purification system, the heat exchange system and the distillation system are all connected with the automatic control system. The oxygen in air is purified through a cryogenic distillation method, oxygen interior compression is adopt, a large number of liquidproducts are generated, both medium pressure oxygen products and the large number of liquid products are produced, only a low temperature expander is used for providing the cooling capacity required for air separation, the output of the products is ensured, through reasonable matching between the pressure of a pressurization machine and the flow of the expander in the process, a plate heat exchanger can recover the cooling capacity better, energy consumption is reduced, the pressurized end of the expander is used for continuing to pressurize high pressure air, the end discharge pressure of thepressurization machine is lowered, and then the difficulty of making the pressurization machine is lowered.