• In a medium saucepan, bring the Water to a boil, add in the Grits slowly and stir. Cover and reduce heat to simmer, cooking for about 10 - 12 minutes. Remove from heat.
• Add in the Cheese, diced Green Chilies, Garlic Powder, and the Salt and Pepper to taste. Mix well until the ingredients are incorporated well.
• Line a 8 x 8 or 9 x 9 inch pan with parchment paper, then spread out the Grits evenly. Should be about 3/4 inch thick. Chill for several hours or over night in the refrigerator or for about 10 - 15 minutes in the freezer (Do not leave in freezer too long or the grits will tend to crumble).
• Once ready, cut into triangles or squares.
• To fry, heat the oil in a heavy bottom skillet, about 1/2 inch deep.
• Mix together the beaten Egg with the Milk, place in a shallow bowl. Set up 2 additional shallow dishes, one with Flour and the other with the Panko.
• First dip the Cheese Grits into the Egg mixture, followed by the Flour. Dip again in the Egg mixture and then the Panko Bread Crumbs. Set aside.
• To check the Oil, you can carefully drop a few Panko Bread Crumbs in to the hot oil, if they start to sizzle/fry, then you can proceed to fry the breaded Cheese Grits.
• Fry for about 3 - 5 minutes on each side, or golden. Remove and drain on a paper toweled lined plate.

For the Beer Bacon Cheese Dip:

• While the Cheese Grits are chilling, is a perfect time to make the dip. In a medium saucepan, add the Ale and bring to a light boil for about 1 minute (this cooks out the alcohol). Remove from the heat.
• Add in the softened Cream Cheese, mixing in well. Continue to add in the rest of the Cheeses, stirring until well incorporated and cheeses have melted.
• Crumble the crispy Bacon, add 2/3 of the Bacon to the Cheese Dip. Reserve the remaining to garnish.
• Add in 2/3 of the Green Onions, reserving the remainder for garnish.
• Season with Salt and Pepper, to taste. Pour into serving dish and garnish with remaining crumbled Bacon and Green Onions. Serve warm.