Black liquor (BL) from the kraft pulping process has been treated at elevated temperatures (380 degrees C) in a batch reactor to give high yields of a bio oil comprising monomeric phenolic compounds that were soluble in organic solvents and mineral oil and a water fraction with inorganic salts. The metal content in the product was < 20 ppm after a simple extraction step. A correlation between concentration, temperature, and reaction time with respect to yield of desired product was found. At optimal reaction conditions (treating BL with 16 wt % dry substance at 380 degrees C for 20 min), the yield of extractable organics was around 80% of the original lignin with less than 7% of char. The product was analyzed by gel permeable chromatography, mass spectroscopy, nuclear magnetic resonance, elemental analysis, and inductively coupled plasma. It was found that a large fraction composed of mainly cresols, xylenols, and mesitols. This process provides a pathway to convert a major waste stream from a pulp mill into a refinery feed for fuel or chemical production, whereas at the same time the inorganic chemicals are recovered and can be returned back to the pulp mill.