Bring water and sugar to a boil to dissolve sugar. Add Peanuts; Continue to boil over medium heat, stirring constantly to evenly coat peanuts. Stir until syrup crystallizes and no liquid remains. Place on an ungreased cookie sheet, bake for 20 minutes at 350 degrees. Stir every 5 minutes to evenly roast. Cool.
This picture is after they are cooked and poured on the cookie sheet. You can see how they still look a little wet.