Keto Chicken with Bacon Mushroom Gravy is an easy, one-skillet meal that’s gluten-free and grain-free, with a paleo option available.

This low-carb, keto-friendly chicken dinner is cooked in a single skillet and finished with a creamy mushroom and bacon gravy. It’s hearty, savory, and quick enough for weeknights.
The keto version uses cream cheese to thicken the sauce, while the paleo variation uses an arrowroot and butter slurry. The paleo option remains relatively low in carbohydrates but contains a few more net carbs than the keto version.
One Skillet Keto Chicken with Bacon Mushroom Gravy makes a satisfying family meal when you want comfort food without grains or excess carbs.

Keto Chicken with Bacon Mushroom Gravy Recipe
Ingredients:
- 1 ½ lb chicken thighs or breasts, skinless and boneless (about 4–5 pieces)
- 2 slices uncooked bacon, chopped
- 1 ½ cup sliced white mushrooms
- 1 tablespoon avocado oil or olive oil
- ½ teaspoon sea salt, divided
- ⅛ teaspoon black pepper
- 1 tablespoon butter
- 2 garlic cloves, minced
- 1 teaspoon dried thyme leaves
- ⅓ cup chicken broth
- Thickener: 3 ounces cream cheese (softened) for the keto version; for paleo version mix 2 teaspoons arrowroot powder with 1 tablespoon butter until smooth
Directions:
- Season the chicken with ¼ teaspoon salt and ⅛ teaspoon pepper. Heat 1 tablespoon oil in a large skillet over medium-high heat and sear the chicken 5–7 minutes per side, until browned. Remove the chicken and set aside.
- In the same skillet over medium heat, cook the chopped bacon until it begins to brown.
- Add 1 tablespoon butter, then the minced garlic and sliced mushrooms. Sauté until the mushrooms are softened and browned.
- Pour in the chicken broth, add the dried thyme and the remaining ¼ teaspoon salt, and stir to combine.
- Increase heat to medium-high and bring the liquid to a gentle boil. For the keto version, add the softened cream cheese and stir until it melts and the sauce thickens; then reduce heat to medium. For the paleo version, stir in the arrowroot-and-butter mixture and cook over medium to medium-high heat until the sauce begins to thicken.
- Return the chicken to the pan, spoon sauce over the pieces, cover, and reduce heat to low. Simmer 5–8 minutes, or until the chicken is cooked through. Serve each piece with a generous spoonful of the mushroom-bacon gravy.
Printable Recipe Card & Nutrition

One Skillet Keto Chicken with Bacon Mushroom Gravy
Ingredients
- 1 ½ lb chicken thighs or breasts, skinless boneless (about 4–5 pieces)
- 2 slices uncooked bacon, chopped
- 1 ½ cup sliced white mushrooms
- 1 tablespoon avocado oil or olive oil
- ½ teaspoon sea salt, divided
- ⅛ teaspoon black pepper
- 1 tablespoon butter
- 2 garlic cloves, minced
- 1 teaspoon dried thyme leaves
- ⅓ cup chicken broth
- Thickener: 3 ounces cream cheese (keto) or 2 teaspoons arrowroot + 1 tablespoon butter (paleo)
Instructions
- Sprinkle chicken with ¼ teaspoon salt and ⅛ teaspoon pepper. Sear in hot oil 5–7 minutes per side until browned.
- Remove chicken and set aside.
- In the same pan, cook the chopped bacon until it begins to brown.
- Add butter, garlic and mushrooms. Sauté until mushrooms are browned and softened.
- Add chicken broth, thyme and remaining salt. Bring to a simmer. For keto, add cream cheese and stir until the sauce thickens. For paleo, add the arrowroot-butter mixture and cook until the sauce thickens.
- Return chicken to the pan, cover, reduce heat to low, and simmer 5–8 minutes until cooked through. Serve with the mushroom-bacon gravy spooned over the chicken.
Notes
All nutritional data are estimates based on the products used. The nutrition shown is for the keto (cream cheese) version. Yield: 4 servings. Serving size: 1 chicken thigh with ¼ of the gravy and mushrooms. Keto version net carbs: about 3 g. Paleo version net carbs: about 5 g.
Nutrition (per serving, keto version estimate)
Calories: 420 kcal • Carbohydrates: 3 g • Protein: 25 g • Fat: 35 g • Saturated Fat: 13 g • Sodium: 478 mg • Fiber: 0 g • Sugar: 1 g
Recipes You May Also Enjoy:
PIN IT HERE

Related Posts from Across the Web: