Abstract: A continuous method of and system for fabricating thermoset polymer pellets wherein thermosetting polymeric resin material flows axially in a temperature controlled, mixer-extruder barrel while maintaining the material between a melt temperature and a higher thermosetting reaction temperature, and extrudes from the barrel at an extrusion temperature between the melt and reaction temperatures. The extruded material is formed into generally spheroidal pellets which are cooled in a transporting coolant liquid stream and charged to the interior of an open ended, centrifuge basket having a porous circumferential wall and an interior annular pusher plate. The wall is rotated to demoisterize the pellets by centrifugally removing liquid coolant and while reciprocating the pusher plate and basket relatively to displace the pellets axially along and off the basket wall. Pellets are taken from the basket wall without substantially fracturing them and forming an undue percentage of fines.