It's just warm atmospheric moisture condensing into the cold oil. Just suck out the oil and replace it. Use an oil extractor, great tool for oil changes, this and sucking out brake fluid from master cylinders to replace it.
Branson 8050, IH 574, Oliver 1550 Diesel Utility (traded in on Branson) NH 8160. Kioti CK2620SECH
The few times that I got water in them was when running in snow storms,
the air flow would carry snow flakes into them.
Some of the swirl pre cleaners would remove some then they would get restrictive from getting partially ice filled.
Just got to were after several hours run time I'd dump and clean it and put new oil in it.
Just a note some engines will actually pull some of the multi grade light oils out of the filter.
Most of them are designed for straight 30 wt. oil.
I will have to keep an eye on it over the winter, the tractor sees very little use during summer months so I never thought to check it in the fall, it had just been cleaned and re oiled this spring, but had a block of ice in it and was cutting off air to the engine. Thanks for all the advice!