The article presents a multiphase numerical computational fluid dynamics (CFD) for simulating hydrothermal liquefaction of sewage sludge in a continuous plug-flow reactor. The discrete particle method (DPM) was used to analyze the solid particle interaction in liquid-solid high shear flows to investigated coupling computational fluid dynamics (CFD) and discrete phase model (DPM) method. Increasing solid particles interaction were observed with increasing liquid velocity. The study examined the influence of parameters such as flow rate, temperature and residence time on the efficiency of bio-oil production. Furthermore, the trajectories of the solid particles are affected significantly by the ash flow and the solid particle size, thus the trajectories of particles resembles the streamlines. A parametric study is performed to investigate the effect of slurry flow rate, temperature and external heat transfer coefficient on the biocrude oil productions performance. This simulation data will be used in the future to design and scale up a large-scale HTL reactor.