Could not initialize PhysX. Please, install PhysX driver.
 

Hello,
When I click "New game" I got a message like this:

http://images46.fotosik.pl/88/f10a3b58c7389645.jpg

PhysX IS installed of course, so I have no idea why 'Cryostasis' can't use it.

Any ideas?

check Control Panel -> Programs and Features
and try to find "NVIDIA PhysX"
uninstall it and download the latest physx driver from here
http://www.nvidia.com/object/physx_9.09.0203_whql.html
also don't forget to check if the physx drivers is set to "enable" from physx properties

Instaling newer driver didn't help. Game starts, menu loads and clicking "New game" brings the same error window. I've got nvidia 8600GT on board - perhaps it doesn't work with PhysX although it is said to use this driver.

Try the PsysX driver which was on the disk. Latest drivers may cause some problems.

I think the 8600 GT is a bad card to run physX, despite the fact its included in the list of supported GPUs.

You can also try to disable PhysX GPU support in the Nvidia Control Panel, it may increase the performance on your card.

You haven't read my first post, have you. The problem appeared after installing PhysX during inastall of the game, and the problem haven't gone although I installed a new version of PhysiX driver.

It doesn't matter whether PhysX is or isn't enabled - I've got the same problem all the time.

Then send DirectX report to our support (supporrt@1cpublishing.eu).