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1
Soak the mushrooms in 1 cup of the water for 2 hours. Drain the mushrooms and strain the liquid through a coffee filter (this is to remove any sand).
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2
In a large soup pot, bring the mushrooms, their soaking liquid, and the remaining water to a boil over high heat.
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3
Add salt, then reduce the heat to low and simmer, covered, for 30 minutes.
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4
Add the potatoes, increase the heat to medium low, and cook until the potatoes are tender, about 15 to 20 minutes.
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5
Remove from the heat. With a slotted spoon, remove the mushrooms. When they are cool enough to handle, chop them very fine.
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6
Using the slotted spoon, transfer the potatoes to a food processor. Add 1 cup of the cooking liquid and process until pureed.
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7
Whisk the potatoes back into the cooking liquid in the pot. You will have to stir them thoroughly with a fork or wire whisk until there are no lumps. Set aside.
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8
In a small skillet, saute the bacon until it renders its fat. Drain off all but 1 Tablespoon of the fat, then add the onion and the mushrooms. Saute, stirring occasionally, over medium high heat until the mixture is well browned, about 15 minutes.
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9
Return the soup to low heat. Add the cream and simmer gently for 2 minutes, until the soup is about to boil.
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10
Stir in the sauteed onion, mushroom, and bacon mixture. Season with a few dashes of paprika and salt and pepper, then simmer for another 3 to 4 minutes. Serve garnished with fresh dill. Serves 6.