Thai peanut sauce is very versatile stuff - it can be used as a dipping sauce, as a salad dressing, or as a sauce for stir-fry or pasta. Here is one version of Thai peanut sauce I found that is simple to make, and tasty to boot. I made mine in a food processor. I may make it in a blender in the future, to see if I can get a better grind -- I found mine was a bit lumpy throughout.
Thai Peanut Sauce
1 c dry roasted peanuts, unsalted
1/3 c water
2 cloves garlic, minced
1/2 tsp dark soy sauce
2 tsp sesame oil
2 T brown sugar
2 - 2.5 T fish sauce
1/2 tsp tamarind paste, or, 1/2 T lime juice
1/2 tsp cayenne pepper, or 1 tsp Thai chili sauce
1/3 c coconut milk
Place all ingredients in a blender or food processor.
Blend or process until smooth. If you prefer a runnier sauce, add a little more water or coconut milk. This sauce tends to thicken as it sits; add a little water or coconut milk to think it out, as needed.
Stores well, if kept covered. (Keeps up to 2 weeks.)