Termite Mud On Wood
Here's a great picture of a termite
tunnel behind a piece of drywall. After the drywall was removed, the
termite damage became visible and we now have a pretty good idea, how
much damage was actually done. The drywall was also damaged, from the
Home Repair Tip: There's a good chance that this wall will need to be reframed. However, remove the installation, scrape off the mud from the termites and inspect the wood framing.
If the top and bottom framing plates are in good condition, and you're not in a financial position to replace the wall, add some new 2 x 4 studs to the wall and then you will have a solid piece of wood, to reinstall your new drywall to.
It wouldn't be a bad idea, to visit your local home improvement center, to see if they have some sort of termite control chemicals that you can spray directly on to the wood, to prevent further damage.
This would be a good time to contact a pest control company, to get an evaluation of your problem. Termite inspection companies can only guess, what kind of damage is behind the walls, underneath the floors or hidden anywhere else in the home. Exposing the wall framing like this, gives them a better idea, of what they're actually dealing with.
Pest control companies can also be a good source, for information. You could always explain your situation over the phone and maybe, they could provide you with some alternative ideas, that might not be so costly.