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The effect of hydrothermal carbonization on the properties of cellulose present in lignocellulosic biomass was investigated for converting it into a renewable energy resource with high energy recovery efficiency. The biochar obtained from cellulose subjected to hydrothermal carbonization showed a significant increase in its carbon content and a calorific value. 13C NMR spectroscopy showed that when raw cellulose was subjected to hydrothermal carbonization above 220 °C, the resulting biochar had more aromatic and aliphatic fractions than those in raw cellulose. The resulting composition of the biochars was comparable to that of solid fuels and was between that of lignite and sub-bituminous coal. Therefore, cellulose, the main component of lignocellulosic biomass, was used to investigate the effects of varying the reaction temperature during hydrothermal carbonization. The energy recovery efficiency calculations showed that the optimum reaction temperature for the transformation of a mixture of cellulose was approximately 220 °C.