My breather tube for the front axle got cut where it runs along the radius arm and I suspect it sucked some water into the axle. I replaced the breather tube and drained the oil from the front diff. It came out looking like coffee with to much creamer in it.

Am I correct in thinking that means there was water emulsified in the oil?

I filled it with fresh oil and checked it a few days later. The oil looked like the old stuff I dumped out.

So my question is: How do I clean all the moisture out of the thing? I'm assuming that water in the gear oil isn't healthy.

 

Keep flushing out with diff oil changes. Cheap to buy by the jug at Tractor Supply, etc. When oil is in the diff, operate truck so that oil "leans" to the left and to the right, to also mix with what is in the horizontal parts of the axles. You must still have some puddles in there somewhere. Did you clean out the banjo bolt where the vent attaches to the top of the axle? Guess you could use the bolt hole and a plastic adapter on a small hose from a manual pump to 100% fill the diff (overfill), and then drain. And I guess if you are fill and drain flushing, it won't matter if you throw in some Seafoam, etc., just don't drive it with low weight stuff in there.

 

Buy cheap motor oil at the dollar store, fill the diff with it, spin the tires by hand, drain.
Repeat until clean oil comes out.
Then fill with the gear lube and call it good.