A large amount of energy is used in conventional methods for drying. But a novel drying process based on self-heat recuperation (SHR) is proposed to reduce energy consumption. A fluidized bed dryer with internal heat exchangers was selected as a main dryer and Pinus radiata wood chips were selected as a biomass sample. The mass and heat balance of a conventional drying process with heat recovery, and this proposed drying process, was calculated using a commercial process simulator PROII (Invensys, Inc.). The results show that the proposed drying process based on SHR can greatly reduce the energy consumption. In addition, this proposed drying process can appreciably decrease primary energy consumption and CO2 emission during drying compared with the conventional drying process with heat recovery.