Phycobiliproteins extraction (primary refining) from Gracilaria gracilis seaweed, harvested in Lesina Lagoon (Italy) and further valorization of the residual algal via pyrolysis (secondary refining), were investigated with a cascade biorefinery approach. R-phycoerythrin (7 mg/g d. w.), allophycocyanin (3.5 mg/g d. w.) and phycocyanin (2 mg/g d. w.) were the main phycobiliproteins extracted. Pyrolysis of G. gracilis residue followed, aiming to investigate the production of bio-oil and biochar within a pyrolysis temperature range of 400-600 degrees C. Results showed that the bio-oil yield is high (similar to 65 wt%) at pyrolysis temperature similar to 500 degrees C, but its high content in nitrogenous compounds prevents its use as a biofuel, unless some further de-nitrogenation takes place. Biochar yield ranged between 33 wt% (400 degrees C) and 26.5 wt% (600 degrees C). Interestingly, inorganic nutrients including P, K, Ca, Fe and Mg were detected in biochar, suggesting its potential use as recovering system of natural mineral resources from the oceanic reservoir. (C) 2014 Elsevier Ltd. All rights reserved.