This paper investigates the evolution of char properties with particle residence time during rapid pyrolysis of biochar under conditions pertinent to pulverized fuel (PF) applications. Two biochar samples were considered, prepared via slow (S-BC) and fast (F-BC) pyrolysis of mallee wood (150–250 µm) at 500 °C and two different heating rates (10 °C/s and ∼400 °C/s), respectively. The biochar samples were then subjected to rapid pyrolysis at 1300 °C using a novel drop-tube furnace (DTF), which enables direct determination of char yield experimentally. The evolution of char yield, the release of alkali and alkaline earth metallic (AAEM) species, and particle size and shape during rapid pyrolysis are investigated as a function of particle residence time (0.45 s to 1.4 s). The results show that char yields decrease from ∼77% to 75% when particle residence time increases from 0.45 s to 1.4 s. Rapid pyrolysis of F-BC has slightly higher char yields, due to the higher ash content of F-BC. More Cl in F-BC facilitates the release of Na during rapid pyrolysis, leading to the lower retention of Na in FC than in SC. Nevertheless, the retentions of K (∼90%), Mg (∼85%), and Ca (∼90%) are higher in FC, which can be ascribed to its higher contents of oxygen after rapid pyrolysis. The investigation of particle size and shape shows that biochar particles exhibit little changes after rapid pyrolysis, indicating their strong resistance to shrinkage and deformation even at high temperature.