Abstract: A recovery system for residual liquor from a pulp mill, utilizing a fluidized bed to burn the organic material in the residual liquor and generate heat which may be recovered. Heat preferably from the flue gases is used to dry residual liquor sprayed to pellets extracted from the bed, thereby to provide pellets coated with dried residual liquor. The so coated and dried pellets are then reinjected into the bed and the organic material in the dried residual liquor is burned to generate the heat recovered from the bed.If the residual liquor is from a kraft mill sulfur compounds are in the form of sulfate and must be reduced to sulfide and a reducing stage will also be provided either in the reducing zone in existing conventional kraft system (if capacity is available) or in a separate reducing zone and some of the pellets from the bed may be directed to the reducing zone together with some of the pellets coated with dried residual liquor.