Biomass gasification is a set of thermo-chemical reactions that converts biomass to fuel gases using air, oxygen or steam. Oil palm shell is selected as the feedstock due to its abundant availability and favorable chemical properties. Generally, biomass cannot be fluidized solely due to its peculiar shape, size and density; a second fluidizable material, e.g. sand is often required to facilitate fluidization. The hydrodynamics of sand-biomass system depends on the specific biomass used. In conventional fluidized bed gasifier, a single vessel is utilized for combustion and gasification. Air is widely used as oxidant but the flue gas will contaminate the gasification products and reduces its heating value. Dual fluidized bed gasifier separates the combustion and gasification in two vessels, so that the gas from the gasifier is separated from the flue gas. Compartmented fluidized bed gasifier (CFBG) is a single vessel partitioned into two discrete compartments as combustor and gasifier where solid heat carrier is internally circulated between the two compartments. The present work has successfully proved the concept of CFBG as a prospective technology for palm shell gasification.