Biofuels and biochemicals play significant roles in the transition towards a fossil-free society. However, large-scale biorefineries are not yet cost-competitive with their fossil-fuel counterparts, and it is important to identify biorefinery concepts with high economic performance. For evaluating early-stage biorefinery concepts, one needs to consider not only the technical performance and process costs but also the economic performance of the full supply chain and the impacts on feedstock and product markets. This article presents and demonstrates a conceptual interdisciplinary framework that can constitute the basis for evaluations of the full supply-chain performance of biorefinery concepts. This framework considers the competition for biomass across sectors, assumes exogenous end-use product demand, and incorporates various geographical and technical constraints. The framework is demonstrated empirically through a case study of a sawmill-integrated biorefinery producing liquefied biomethane from forestry and forest industry residues. The case study results illustrate that acknowledging biomass market effects in the supply chain evaluation implies changes in both biomass prices and the allocation of biomass across sectors. The proposed framework should facilitate the identification of biorefinery concepts with a high economic performance which are robust to feedstock price changes caused by the increase in biomass demand.

Biofuel production from algae feedstock has become a topic of interest in the recent decades since algae biomass cultivation is feasible in aquaculture and does therefore not compete with use of arable land. In the present work, hydrothermal liquefaction of both microalgae and macroalgae is evaluated for biofuel production and compared with transesterifying lipids extracted from microalgae as a benchmark process. The focus of the evaluation is on both the energy and carbon footprint performance of the processes. In addition, integration of the processes with an oil refinery has been assessed with regard to heat and material integration. It is shown that there are several potential benefits of co‐locating an algae‐based biorefinery at an oil refinery site and that the use of macroalgae as feedstock is more beneficial than the use of microalgae from a system energy performance perspective. Macroalgae‐based hydrothermal liquefaction achieves the highest system energy efficiency of 38.6%, but has the lowest yield of liquid fuel (22.5 MJ per 100 MJ_algae) with a substantial amount of solid biochar produced (28.0 MJ per 100 MJ_algae). Microalgae‐based hydrothermal liquefaction achieves the highest liquid biofuel yield (54.1 MJ per 100 MJ_algae), achieving a system efficiency of 30.6%. Macro‐algae‐based hydrothermal liquefaction achieves the highest CO₂ reduction potential, leading to savings of 24.5 resp 92 kt CO_2eq/year for the two future energy market scenarios considered, assuming a constant feedstock supply rate of 100 MW algae, generating 184.5, 177.1 and 229.6 GWh_biochar/year, respectively. Heat integration with the oil refinery is only possible to a limited extent for the hydrothermal liquefaction process routes, whereas the lipid extraction process can benefit to a larger extent from heat integration due to the lower temperature level of the process heat demand.