Peanut Oil Recipe

Make the most out of peanuts by converting them into a versatile, healthy, and absolutely delicious Peanut Oil!

Peanut oil, also known as groundnut oil or arachis oil, is one of the most useful ingredients you can make from scratch. It is usually made by pressing the oil from the peanuts for an organic and all-natural condiment.

You will surely love how it has such a rich flavor that can enhance the quality of beef, chicken, vegetables, fish, and more. Not only does it upgrade your meals, but it also improves your health in so many ways.

groundnut oil recipe

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The best part is that the peanut oil is incredibly easy to make. As long as you have peanuts, you can always make multi-purpose peanut oil. Give it a try and realize just how much it can change the way you enjoy your dishes!

How to Make Peanut Oil

Instead of buying oil all the time, why not make your own Peanut Oil at home? It only takes twenty minutes to make an all-natural oil. You will get the full flavors and health benefits that you deserve.

Let’s start with the ingredients you will need.

pink peanuts


What peanuts can give you the best peanut oil recipe?

Redskin Peanuts

There are so many reasons to love redskin peanuts to make peanut oil.

Peanuts have a naturally earthy, nutty, and mildly sweet flavor that’s great for so many recipes. While some enjoy raw and creamy peanuts, you can also roast them for a toasty and slightly spicy flavor.

Once you remove the peanut shells, you can enjoy the peanuts with or without the skin. They will also taste so much better with spices for a new flavor every time you make them.

Even if peanuts have the word “nuts”, they can actually be safe for people with nut allergies. These peanuts also come with important health benefits that can change your life.

Health Benefits of Peanuts

  • Peanuts are known to be some of the best heart-healthy foods because of their good fat content.
  • According to WebMD, eating peanuts can even help you live longer.
  • Since peanuts have a low glycemic index, they won’t cause spikes in your blood sugar.
  • Healthline found that the low-carbohydrate content of peanuts is great for people with diabetes.
  • If you plan to lose weight, then you should eat more of these peanuts.

You can use peanuts for almost any cuisine you can think of. They go well with savory and smoky dishes for a good balance of flavor. Peanuts are perfect for roasting, baking, braising, stewing, and more!

Let’s take these peanuts to a new level by making this 101% natural Peanut Oil!


Just remember these steps to make your own Peanut Oil at home:

  1. Spread the peanuts on a baking tray.
  2. Cook them in the oven at 180°C for ten minutes.
  3. Once cool, peel them.
  4. Put them into a blender or food processor and blend until smooth.
  5. Scrape the sides with a spatula.
  6. Transfer the oil to a jar.
  7. The longer you store it, the more oil it releases.
ways to roast peanuts

It’s like hitting two birds with one stone! You can enjoy yummy peanut butter and use its oil for other dishes you want to cook. This recipe is surely a winner!


Alternative Ways to Cook Peanuts

If you don’t want to oven-roast the peanuts, then here are alternative ways to prepare them for butter and oil. 

  1. Rinse them and place them in a pot of water.
  2. Then, season it with salt.
  3. Boil them for one to four hours, depending on the quantity.
  4. Once soft, remove them from heat.

Boiling them is a great way to go for shelled peanuts. This can also be done using a pressure cooker

roasted peanuts in two easy ways
  1. Put the ingredients in a skillet or a non-stick pan.
  2. Roast the peanuts for six to ten minutes over medium fire.
  3. Then, season it with salt or other herbs and spices.
  4. Stir it occasionally to cook thoroughly. 
Air Fryer
  1. Lightly grease the air fryer basket with oil.
  2. Then, pour in the peanuts and season them accordingly.
  3. Cook them in the preheated air fryer for 20 minutes. 

Don’t forget to shake the air fryer basket to cook the peanuts evenly.

ways to peel roasted peanuts

How to Peel Roasted Peanuts

Quickly peel the roasted peanuts by rubbing them between your palms. To separate the peel, use a blow dryer. I suggest using the Blowdryer Technique on a clean and open surface for easy clean-up or No-Mess Air Fryer Technique.

Peanut Oil Variations

Did you know that there are other kinds of peanut oil you can do?

I suggest using redskin peanuts, but you can also try other varieties. If you want to add more flavor to the oil, then just add salt, honey, cocoa powder, sugar, and other seasoning ingredients.

In case you don’t have a blender or food processor, you can also use an immersion blender, a food mill, or other similar kitchen tools. Alternatively, pound the peanuts using a mortar and pestle until you get the right consistency. 

More Peanut Recipes

  • Blender or food processor: Make the oil in a food processor. 
  • Oven: Roast them in the oven for easy peeling and a stronger flavor.
  • Spatula: Scrape the sides of the food processor with a spatula. 
  • Jar: Store the contents in a jar. 
  • Baking tray: Spread the peanuts on a baking tray.

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peanut oil uses

How to Use Peanut Oil

Once you have peanut oil, how do you plan on using it?

Well, you can use peanut oil just like how you use any other kind of oil. It’s great for frying, roasting, baking, grilling, deep frying, basting, marinading, and more. It’ll also be a good alternative to other kinds of oil like vegetable oil.

Peanut oil can be used for stir fry recipes such as:

  • Scotch Eggs – peanut oil has a high smoke point for deep frying.
  • Chin Chin – deep fry your chin chin in peanut oil for crunchy snacks.
  • Fried Chicken Gizzards – infuse the gizzards with a rich nutty taste.
  • Fish Rolls – cook fish rolls in peanut oil for the best quality.

The oil’s natural flavors will undoubtedly improve any dish’s quality. Use it for recipes that require high heat and a long cooking time. It is the perfect substitute for processed store-bought oil.

groundnut oil

Storage Tips

At room temperature: Store peanut oil in cool and dry areas. Note that the longer you store it, the more oil it releases. 

Make Ahead

In the fridge: Pour the released oil and transfer it into another jar. Store this in the fridge for several weeks or even months. 

To freeze: Freeze it if you want to extend its shelf life to a year. However, freezing it can lessen the nutty flavor. 

groundnut oil uses

Frequently Asked Questions

Is peanut oil healthy or unhealthy?

Peanut Oil is absolutely healthy. Since it’s made of all-natural peanuts, you can expect that it will have the flavors and nutrients that you need. These peanuts have proven to have good effects on your digestion, energy, bones, heart, and overall health.

What is peanut oil best used for?

This oil is best used for stir-frying, deep frying, and roasting. It is a versatile oil that you can use for many ingredients, from beef and chicken to vegetables! Whenever you want to add a nutty and rich flavor, use this condiment as seasoning.

Is peanut oil healthy vs olive oil?

It depends on your preference and diet. Both have lots of nutrients, vitamins, and minerals that give them amazing health benefits. Olive oil has a higher level of antioxidants but peanut oil has a higher smoke point. UIse one that works best for your recipe and dietary needs.

Is peanut oil better than vegetable oil?

Remember that vegetable oil comes in many varieties like canola oil and corn oil. They are both good for your health but peanut oil has a more potent flavor. It also has a higher smoke point than vegetable oils.

homemade peanut oil recipe

Peanut Oil (VIDEO)

5 from 1 vote
After this recipe, you’ll never have to buy butter or peanut oil again!
Prep Time 10 minutes
Cook Time 10 minutes
Total Time 20 minutes
Servings 100 ml
Course Condiment/spice, Made from scratch
Cuisine Brazilian, Chinese, French, Indian
Calories 9kcal


  • 400 g redskin peanuts


  • Prepare the peanuts.
    Spread the peanuts on a baking tray and cook them in the oven at 180°C for 10 minutes. Let it cool, then peel them.
  • Blend them.
    Put them into a blender or food processor and blend until smooth. Scrape off the contents on the side and continue blending until you achieve a smooth and buttery consistency.
    Transfer the butter into an airtight jar. Store this in a cool and dry area. The longer you store it, the more oil it releases. Simply pour the oil into a glass bowl to use for other recipes.



  • If you don’t want to roast the peanuts in the oven, roast them on a skillet, pan, or air fryer.
  • Aside from using a blender or food processor, create the butter with a mortar and pestle.
  • Scrape off the contents on the side and continue blending until you achieve smooth buttery consistency.
  • Pour the oil into a glass bowl to use for other recipes.


Serving: 100mlCalories: 9kcalFat: 1gSaturated Fat: 0.2gPolyunsaturated Fat: 0.3gMonounsaturated Fat: 0.5g
Keyword easy peanut oil, healthy peanut oil, homemade groundnut oil, homemade peanut oil, natural peanut oil, organic peanut oil

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