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You can't get it out on the inlet side. You have to get it out on the outlet side. The first step is to drain the compressor of water before you start blasting. Second step is to use a bigger air line so the water has a chance to separate. An actual water separator would be a good idea too. Finally, set up your air system so water is segregated out. In my old shop, air came out of the compressor, up to a hard line at ceiling level (don't use PVC), then the line made a 1' drop over the 50' length of the shop. Below each air chuck I had a 1' drop with a valve to drain the water that collected- usually not much. I never had issues with water with that setup.
Thats the same way I plumbed my garage. I ran galvanized piping and made several runs with drains at low spots. I have a final water seperator but moisture has never reached that far. I can be sandblasting for hours on a humid summer day and moisture is never a problem. It's an excellent cheap solution to moisture problems, much cheaper than a dissecant system.
Somebody makes a spin on water separator that is instelld in the line. I've got a call into the marketer to get the name. I'll get back to you. It works like a charm and is not too spendy.
Thanks , Thats exactly what I needed to know. That little bowl thing was only taking a little bit of water out. I can see water vapor when I use the air nozzle. I need to do some piping before I start sandblasting.