Microalgae has been emerging as a promising solution against the backdrop of the global need for sustainable, eco-friendly alternatives. This review article analyses the use of photosynthetic microalgae as an important resource for sustainable biofuel and high value bioproduct production, emphasizing the potential of self-sustaining microalgae biorefineries. A closed-loop, integrated multi-product producing microalgal biorefinery approach could significantly reduce the indicated negative environmental and energy impact from standalone microalgal biofuel generation. The economic feasibility of these biorefineries is linked to their recovery rate, improved by integrating various unit operations as well as multiple product dimensions under optimal conditions, enhancing resource recovery, process efficiency, and profitability. This approach ensures profitability and ubiquitous implementation of microalgal biorefineries, offering a sustainable solution to market demands. In conclusion, making microalgae biorefineries a major player in sustainable bioeconomy underscores the necessity of interdisciplinary research to surmount current challenges and completely realize their advantages.