A fluid processor for use in a downhole pumping operation includes a fluid processing stage (126), a nozzle stage (128) and a gas compressor stage (130). The nozzle chamber is configured as a convergent-divergent nozzle and the variable metering member is configured for axial displacement within the convergent section to adjust the open cross-sectional area of the nozzle. A method for producing gas containing liquid with a pumping system includes the steps of measuring the gas-to-liquid ratio of the fluid and operating a motor of the pumping system at low speed when the gas-to-liquid ratio is low and at high speed when the gas-to-liquid ratio is high. The nozzle stage meters the flow of fluid into the gas compressor and reduces the size of liquid droplets entrained in the fluid stream.
