Ingredients:

  Amount  Measure       Ingredient -- Preparation Method
--------  ------------  --------------------------------
   1      cup           roasted unsalted peanuts
   2      stalks        lemongrass
  16                    dried chiles*
   1      inch          fresh ginger
   1      inch          fresh galangal
   6                    shallots -- (or 1 medium onion)
   3      cloves        garlic
                        sugar to taste -- (palm sugar is
                        -- best)
   1      tablespoon    tamarind -- soaked and diluted
                        -- with, 3/4 cup hot water
   1      tablespoon    fennel seed
   1 1/2  cups          coconut milk
   2      tablespoons   peanut/corn oil

Preparation:

* seeded, soaked in hot, water for 15 minutes First, chop peanuts (or use a food processor) into tiny chunks -- as tiny as the peanuts in your chunky peanut butter, but not too fine. Then, in a blender or food processor blend chiles, shallots, garlic, ginger, galangal, lemongrass, and fennel seed. Blend until it forms a paste. Heat oil in a pot. When oil is heated, put the blended paste in. Cook for 5 to 10 minutes, stirring continuously. Then, put in the roasted peanuts and the tamarind with its water. Cook until the mixture boils. Then, put in the coconut milk, sugar and salt. Simmer for another 10 to 15 minutes. If the sauce is too thick for your liking, add more coconut milk or water.