I tried playing this game with only 32-bit Java installed, and yes, it crashed when pulling a basic shelter out, but it worked just fine. Then I installed the latest version of Java 64-bit, and while everything is okay when moving with the WASD keys, the moment you rotate the camera the game goes from point A to point B with nothing else in between. Basically it's like if you took two screenshots of the game with the only difference being that the second screenshot was rotated about 15 degrees to the right. As you can imagine, this is all very disorienting, and while I've tried lowering every setting possible, the problem will not go away.
I've tried uninstalling Java 32-bit, and no difference was made, and even when I installed the updated 32-bit version of Java, the problem remained. As far as I can tell this is an issue with the 64-bit of Java, and I was wondering what I could do to cause the game to become more fluid.
EDIT: Updated the game via the Steam interface. Guess what? Now the problem is even worse. Turns out it no longer matters what version of Java is installed the game always freezes whenever the camera is rotated. I tried running with everything set as low as it would go, and no difference was made. Below is my system settings.
CPU: Hyper threaded 2.8 GHz
RAM: 32 GB
Graphics Card: Radeon HD 7950
OS: Windows 7