TECHNOLOGY FOCUS - BIOLOGY - Preferred Method: The treatment of the lignocellulosic material is performed using no solvent other than liquid water or steam. The steam pretreatment takes place in a batch or continuous manner. The steam pretreatment involves placing the lignocellulosic material in a pressurized chamber, where the lignocellulosic material is steam-treated at 150-250 degrees C, preferably 180-220 degrees C for 5-15 minutes. The steam pretreatment involves rapid depressurization or post-refining to reduce particle size. The steam pretreatment is pH controlled by the addition of a base to maintain pH 5-8. The biological conversion involves fermenting the lignocellulosic material, where the fermentation is performed by simultaneous saccharification and co-fermentation. The method involves (a) separating water, ethanol, and one or more soluble products from the lignin by a beer stripper, or (b) separating substantially pure lignin from one or more soluble products by a filter or by centrifugation, where the substantially pure lignin is dried with heat, organic solvent or with ethanol. The substantially pure lignin contains (a) not more than 0.4% ash, preferably 0.1% ash, (b) not more than 11% carbohydrate, preferably 2% carbohydrate, and (c) not more than 1% sulfur, preferably 0.25% sulfur. The substantially pure lignin is further processed by performing hydrotreating or pyrolysis. The method involves subjecting the substantially pure lignin to a second hydrolysis step, after step (c).    TECHNOLOGY FOCUS - BIOTECHNOLOGY - Preferred Components: The lignocellulosic material is fermented by microorganisms chosen from Clostridium thermocellum, Thermoanaerobacterium saccharolyticum, Saccharomyces cerevisiae, Kluyveromyces marxianus, Escherichia coli, Zymomonas mobilis, Bacillus stearothermophilus and Pichia stipitis. The organism produces one or more cellulases or xylanases, where the one or more cellulase is chosen from endoglucanases, exoglucanases, beta -glucosidases, cellobiohydrolases, endo-xylanases, beta -xylosidases, xylobiohydrolases, exoxylanases, beta -xylosidases, arabinoxylanases, mannases, galactases, pectinases, glucuronidases, amylases, alpha -amylases, beta -amylases, glucoamylases, alpha -glucosidases and isoamylases. The cellulase or xylanase is tethered to the surface of the cell, where the cellulases or xylanases are exogenously added. The microorganisms are cultured in a series, by growing a primary microorganism, optionally followed by removal of the primary microorganism, and then by growing one or more additional organisms on the substrate. The two or more microorganisms are co-cultured. EXAMPLE - No suitable example given.