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The energy required for industrial drying processes consumed by a conventional dryers are essentially thrown away without the ability to recover the latent heat of water vapor in the air, significant reductions in dryer energy usage cannot be made. In an attempt to recover the latent heat of the water vapor, a closed drying cycle is proposed, which uses a nozzle as the means to recover this energy from moist-saturated air. This nozzle condensation drying cycle (NCDC) is composed of the following components: dryer, nozzle, diffuser, air water separator, heat exchanger and compressor. Analysis of this drying cycle shows that ideally this cycle requires lower energy compared with an ideal open cycle heated dryer or a heat pump dehumidification cycle. However, which equipment isentropic efficiencies are included, the energy costs are approximately a third of the cost of the ideal open cycle healed dryer. The cycle can be operated at varying conditions, allowing for a single design to be utilized for various ap plications. Other advantages are in applications that require drying of hazardous liquids from a product.