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The conversion of lignocellulose into its building blocks and their further transformation into valuable platform chemicals (e. g., furfural) are key technologies to move towards the use of renewable resources. This paper explored the disentanglement of lignocellulose into hemicellulose‐derived sugars, cellulose, and lignin in a biphasic solvent system (water/2‐methyltetrahydrofuran) using phosphoric acid as recyclable catalyst. Integrated with the biomass fractionation, in a second step hemicellulose‐derived sugars (mainly xylose) were converted to furfural, which was in situ extracted into 2‐methyltetrahydrofuran with high selectivity (70 %) and yield (56 wt %). To further increase the economic feasibility of the process, a downstream and recycling strategy enabled recovery of phosphoric acid without loss of process efficiency over four consecutive cycles. This outlines a more efficient and sustainable use of phosphoric acid as catalyst, as its inherent costs can be significantly lowered. [ABSTRACT FROM AUTHOR]