Gather all of your ingredients. Preheat your oven to (375°F) = (190°C) Grease a 9″ by 13″ inch pan.

Cut the package(s) of uncooked raw bacon into thirds. This creates the perfect sized strips of bacon to wrap the water chestnuts.

Wrap a piece of raw bacon around one water chestnut and secure it with a toothpick. Place the bacon-wrapped chestnuts in the greased pan. Continue to wrap each water chestnut with a piece of bacon until all the chestnuts are wrapped. Place the pan of bacon-wrapped chestnuts on a middle rack in the oven.

Bake uncovered for 20 minutes.

Drain the fat from the pan. This is the hardest part of the whole recipe. Be careful!

It's time to make the delicious savory sauce! Place the ketchup, brown sugar, soy sauce, and dry mustard in a medium-sized bowl and whisk until smooth.

Cover the baked chestnuts with this sauce mixture.

Bake for an additional 20-30 minutes. Enjoy!