Fried Grits and Ham

3 cups water
1/2 teaspoon salt
1 cup grits
1/2 lb. approximately, cooked ham
or prosciutto luncheon meat, finely chopped
1/2 cup flour
1/4 teaspoon pepper
2 eggs -- lightly beaten
1/2 cup vegetable oil
6 tablespoons butter

Bring the water and half of the salt to a boil and stir in the grits. Cover and return to a boil. Lower the heat and simmer for about 10 minutes, until thickened. Pour half the grits into a rectangular baking dish. Sprinkle with the finely chopped ham or prosciutto and cover with the remaining grits. Cover and refrigerate for several hours, or overnight. Mix the flour with the pepper and remaining salt. Lightly beat the eggs. Slice the cold grits and ham into either 8 or 16 pieces. Dip each slice into flour, then in the eggs, and back into the flour. Heat oil and butter in a large skillet and when hot, cook the grits, a few pieces at a time, browning well on each side. Add more oil and butter to the pan as necessary. Drain on paper towels and serve hot. These may be made up to two hours in
advance and warmed before serving. Serves 8.