Abstract: The low temperature heat recovery system is used in combination with apparatus for drying a moving web of paper or the like and comprises a steam circuit, a gas circuit and a refrigerant circuit. The steam circuit recovers condensed steam from the rotary cylinders of the paper dryer, reheats the steam and injects the steam back into the rotary cylinders or back into the steam main. The gas circuit removes the wet air from the dryer housing, extracts the moisture and the latent heat from the air, reheats the air and injects the air back into the housing. The refrigerant circuit functions as a heat pump to heat the steam and air prior to injecting the steam and air into the cylinders and housing, and cools the air to condense and extract the moisture from the air.