Place sugar in a medium-size heavy saucepan. Place over medium heat, and cook until sugar is golden (do not stir). Carefully add cider, stirring constantly (mixture will bubble vigorously). Stir in applejack; cook 1 minute. Add drippings, lemon juice, salt, and nutmeg. Combine water and cornstarch, stirring with a wire whisk; add to gravy. Bring to a boil, and cook 1 minute, stirring constantly.