Step 1 of 4
South Dakota Wild Mushroom Dip
Preheat oven to 350°F. Melt butter in large skillet on medium-high heat. Add mushrooms and onion; cook and stir until softened.
Step 2 of 4
South Dakota Wild Mushroom Dip
Mix milk, water and Gravy Mix in small bowl. Stir into mushroom mixture. Cook on medium heat until gravy comes to boil, stirring frequently. Reduce heat to simmer. Stir in 3/4 cup of the cheese. Simmer 1 to 2 minutes or until cheese is melted and gravy has thickened slightly.
Step 3 of 4
South Dakota Wild Mushroom Dip
Spoon into 1-quart baking dish. Sprinkle with remaining 1/4 cup cheese.
Step 4 of 4
South Dakota Wild Mushroom Dip
Bake 5 to 10 minutes or until cheese is melted. Serve with onion rings, fries or crusty bread.