<p>The availability of low-cost feedstocks for the production of lignocellulolytic enzymes and bioenergy products is a major challenge for biofuel industry. Oil palm processing generates huge amount of residual biomass that can be utilized for cost-effective production of lignocellulolytic enzymes and second-generation biofuels. The cultivation of oil palm and extraction of oil generates residues in the form of oil palm empty fruit bunches, oil palm frond, and oil palm trunk that are rich source of cellulose and hemicelluloses. The integration of these oil palm-based residues to circular economy mitigates wastes disposal problems and provides clean energy. Oil palm biomass has also been proved as cost-effective substrates for the production enzymes under solid-state and submerged fermentation especially using fungi. The rapidly increasing global renewable energy demand requires the potential sources. The oil palm biomass can be suitable resource for generation of renewable energy. The conversion of oil palm biomass into biofuels requires efficient, cost-effective, and environmentally friendly pretreatment. Physical, chemical, and biological pretreatments and their combinations have been employed to remove lignin and to enhance the digestibility of carbohydrates available in oil palm-based residues. The advancement in pretreatment technologies and enzymatic hydrolysis resulted in release of maximum amount&#xa0;of sugars for biofuels production. This paper investigates the recent research progress on valorization of oil palm-based residues into cellulases, xylanases, ligninolytic enzymes, bioethanol, biobutanol, biomethane, bio-oil, and xylitol.</p>