Preheat oven to 200C.
Season chicken with salt and pepper, and set aside.
In a frying pan, add panko and oil on med high heat.
Pan fry until panko turns golden.
Remove from heat, and transfer panko to shallow baking dish to cool.
Whisk together egg and water in a shallow dish.
Dredge chicken in flour, dip in egg mixture, then coat with cooled panko.
Place chicken on a parchment lined baking sheet.
Bake for 25 mins or until fully cooked through.