Worldwide consumption of hen eggs results in availability of large amount of discarded egg waste particularly egg shells. In the present study, the waste shells were utilized for the synthesis of highly active heterogeneous calcium oxide (CaO) nanocatalyst to transesterify dry biomass into methyl esters (biodiesel). The CaO nanocatalyst was synthesied by calcination-hydration-dehydration technique and fully characterized by infrared spectroscopy, X-ray powder diffraction (XRD), scanning electron microscope (SEM), transmission electron microscope (TEM), brunauer-emmett-teller (BET) elemental and thermogravimetric analysis. TEM image showed that the nano catalyst had spherical shape with average particle size of 75 nm. BET analysis indicated that the catalyst specific surface area was 16.4 m g with average pore diameter of 5.07 nm. The effect of nano CaO catalyst was investigated by direct transesterification of dry biomass into biodiesel along with other reaction parameters such as catalyst ratio, reaction time and stirring rate. The impact of the transesterification reaction parameters and microalgal biodiesel yield were analyzed by response surface methodology based on a full factorial, central composite design. The significance of the predicted mode was verified and 86.41% microalgal biodiesel yield was reported at optimal parameter conditions 1.7% (w/w), catalyst ratio, 3.6 h reaction time and stirring rate of 140.6 rpm. The biodiesel conversion was determined by H nuclear magnetic resonance spectroscopy (NMR). The fuel properties of prepared biodiesel were found to be highly comply with the biodiesel standard ASTMD6751 and EN14214.