This post is a step-by-step guide to making Malaysian satay paired with the flavorful peanut sauce.

But first, have you ever tried satay?

If you’re from Malaysia or Singapore, I’m pretty sure you have! And of course, Kajang Satay is one of the most famous ones. Whenever we have guests from overseas, bringing them to Kajang for satay is almost a tradition. So today, I’ll be sharing my version of Malaysian satay, Kajang style. 

Satay is best grilled over charcoal, giving it that smoky aroma we all love. But since most of us who live in the city don’t have a charcoal pit at home, I’ve been using a grill pan on the gas stove instead. It may not have the same smoky charcoal flavor, but it’s the most practical way to make satay at home.

The following recipe is what we used at my former restaurant before I sold it. I hope you’ll enjoy it as much as my customers did!

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Part 1: The satay sauce

What makes typical Malaysian satay sauce special is the mix of spices like lemongrass, galangal, dried chilies, and roasted peanuts that gives it that rich taste.

For this recipe, I’ll stick to the classic Malaysian version. To keep things simple and easy to follow, the sections below briefly explain the key ingredients and the steps for preparing and cooking the dish. Please refer to the ingredient list in the recipe card below for the exact quantities.

Main ingredients for the Satay sauce

• Peanuts. The peanuts you get from the market may not be completely clean, so you may want to sieve them to remove any sand. You can also choose to remove the skin (seed coat) of the peanuts. Although the skin doesn’t significantly affect the taste, removing it before crushing the peanuts gives the final sauce a lighter, fresher color. However, the difference between removing it or not is mainly aesthetic, so in this recipe, I’ll keep it simple and leave it as it is. (Authentic satay sauce requires peanuts, not peanut butter.)
• Chili. Dried chilies are an essential component of this peanut sauce. You can also use fresh red chilies if you prefer, but the flavor will be slightly different from dried ones. In this recipe, I’ll be using fresh chilies. (Note: If you live in Malaysia or Singapore, you can buy ready-made chili paste from the market. It’s called chili boh, which is simply blended chilies mixed with water.)
• Galangal. Galangal resembles ginger but has a distinct, more intense flavor. It’s also tougher in texture, so it takes longer to blend into a smooth paste when making the chili mixture. I strongly recommend using galangal for an authentic taste.
• Asam keping (also known as asam gelugor or asam gelugo) refers to the sun-dried slices of the fruit from the giant rainforest tree Garcinia atroviridis, which is native to Malaysia. It is commonly used in various sauces and curries to add a pleasantly sour flavour. If asam keping is not available, you can substitute it with store-bought tamarind juice or tamarind paste.
• Belacan. Belacan is a Malaysian fermented shrimp paste. If you can’t find it, you may substitute it with Thai shrimp paste, which is quite similar.
• Kicap Manis is a sweet soy sauce commonly used in Malaysia and Indonesia. Please use it for marinating the satay, not Chinese or Japanese soy sauce. The flavor of kicap manis is distinctly different and cannot be substituted with Chinese and Japanese soy sauce.
• Palm sugar. We use palm sugar (Gula Melaka) to make the peanut sauce and marinate the satay. It has a distinct aroma and is the most authentic choice. If it’s unavailable, you can substitute it with brown sugar.

Note: I understand that some of the ingredients may be difficult to find outside Asia. Your best option is usually the large Asian grocery store near you.

How to Make The Peanut Sauce

1. Toast the peanuts in a pan (or wok) over low heat with a small amount of oil. Stir constantly to ensure even toasting. Once they begin to turn a deeper color and develop a few scattered charred spots, remove them from the pan. 
2. Coarsely crush the peanuts with a food processor or a mortar and pestle. Do not grind them into powder, as small chunks give a better mouthfeel.
3. Remove the seeds and pith from the red chilies, then cut them into short pieces.
4. Cut the onion, garlic, galangal, and lemongrass into small pieces. For the lemongrass, remove the fibrous outer layer and use only the tender middle section (discard the base and leafy end), then slice it into thin rings.
5. Blend the red chilies, onion, garlic, lemongrass, galangal, belacan, and vegetable oil until smooth. This may take a few minutes, depending on the strength of your blender.
6. Once the chili paste is ready, transfer it to a pan and sauté over low heat. Cook for a few minutes, or until most of the moisture evaporates. When the paste turns a darker color and the oil begins to separate, it is ready for the next step.
7. Add the ground peanuts to the chili paste. Pour in some water, followed by the asam keping, sugar, and salt. Simmer for a few minutes. The peanut sauce will gradually thicken. Stop cooking once it reaches your preferred consistency. The peanut sauce is ready.

Should I Include Coconut Milk in the Peanut Sauce Recipe? 

Yes, Malaysian peanut sauce commonly includes coconut milk (santan), especially in traditional recipes such as Kajang-style satay sauce. For a standard batch made with approximately 200–250g of peanuts, it typically uses around 200ml of santan.

However, some restaurants choose to reduce or omit coconut milk to make the sauce less oily and to extend its shelf life. For this recipe, I will not be using coconut milk, as it follows the same formula I used in my previous restaurant.

Part 2: How to Make Kajang-Style Chicken Satay

1. Cut the chicken breast into small bite-sized pieces (about 2 × 2 cm). (You can also use chicken thighs to make satay, as it depends on individual preference.)
2. Just like preparing the peanut sauce, cut the onion, garlic, galangal, and lemongrass into small pieces to make blending easier.
3. Add the onion, garlic, galangal, lemongrass, belacan, and vegetable oil into a blender. Blend until it becomes a smooth paste. Add a splash of water if necessary to help it blend.
4. Combine the chicken with the blended paste, then add turmeric powder, sugar, ground white pepper, coriander powder, fennel powder, cumin powder, kicap manis, and salt. Mix the chicken thoroughly with the satay marinade to ensure every piece of chicken is evenly coated. Cover and refrigerate for at least 4 hours, or overnight for the best flavour.
5. Thread 4–5 pieces of marinated meat onto each bamboo skewer. Press them lightly so they sit flat, as this helps the chicken cook evenly on the grill.
6. Preheat a grill pan until very hot. Lightly grease the surface with oil, then place the bamboo skewers on the hot grill. Grill over medium heat for about 2–3 minutes on each side.
7. Brush the chicken with more oil while grilling to keep it moist. Continue grilling until the meat is golden brown and the edges are lightly charred.
8. Remove from the grill and serve immediately with satay sauce, cucumber slices, red onion wedges, and ketupat.

Continue to Content

Malaysian Chicken Satay & Peanut Sauce

Yield: 10 large satay sticks

Prep Time: 20 minutes

Cook Time: 20 minutes

Total Time: 40 minutes

Cook delicious Malaysian satay with peanut sauce at home. Follow our step-by-step guide for Kajang-style satay, full of flavor!

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Ingredients

Ingredients for the sauce

• 4 tbsp vegetable oil
• 50g red chilies
• 1 tbsp garlic
• 1/2 medium-sized onion
• 1/2 tsp belacan
• 15g lemongrass (edible part only)
• 10g galangal
• 1 pc asam keping
• 2 tbsp sugar
• 1/2 tsp salt
• 100g peanuts

Ingredients for chicken satay

• 500g chicken breast meat
• 1 tsp turmeric powder
• 2 tbsp sugar
• 1/2 medium-sized onion
• 1 tbsp garlic
• 60g galangal
• 1/2 tsp ground white pepper
• 2 tsp coriander powder
• 2 tsp fennel powder
• 2 tsp cumin powder
• 1.5 tsp belacan
• 4 stalks of lemongrass (edible part)
• 1/4 cup vegetable oil
• 2 tsp kicap manis
• 5g salt
• 10 bamboo skewers

Instructions

Peanut Sauce

1. Toast the peanuts over low heat with a small amount of oil, stirring constantly to ensure even toasting. Once they begin to turn a deeper color and develop a few scattered charred spots, remove them from the pan.
2. Coarsely crush the peanuts using a food processor.
3. Remove the seeds and pith from the red chilies, then cut them into short pieces. Cut the onion, garlic, galangal, and lemongrass into small pieces.
4. Blend the red chilies, onion, garlic, lemongrass, galangal, belacan, and vegetable oil until smooth.
5. Transfer the mixture to a pan and sauté over low heat for a few minutes, or until most of the moisture has evaporated.
6. Add the ground peanuts to the chili paste. Pour in some water, then add the asam keping, sugar, and salt. Simmer for a few minutes—the peanut sauce will gradually thicken. Stop cooking once it reaches your preferred consistency. The peanut sauce is ready.

Chicken Satay

1. Cut the chicken breast into small bite-sized pieces (about 2 × 2 cm).
2. Cut the onion, garlic, galangal, and lemongrass into small pieces. Add the onion, garlic, galangal, lemongrass, belacan, and vegetable oil into a blender and blend until smooth. Add a splash of water if necessary to help it blend.
3. Combine the chicken with the blended paste, then add turmeric powder, sugar, ground white pepper, coriander powder, fennel powder, cumin powder, kicap manis, and salt. Cover and refrigerate for at least 4 hours, or overnight for the best flavor.
4. Thread 4–5 pieces of marinated meat onto each bamboo skewer. Press them lightly so they sit flat, which helps the chicken cook evenly on the grill.
5. Preheat a grill or grill pan until very hot. Lightly grease the surface with oil, then place the bamboo skewers on the hot grill. Grill over medium heat for about 2–3 minutes on each side.
6. Brush the chicken with more oil while grilling to keep it moist. Continue grilling until the meat is golden brown and the edges are lightly charred.
7. Serve immediately with satay sauce, cucumber slices, red onion wedges, and ketupat.

Recommended Products

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• 
  Belacan Shrimp Paste - Shrimp & 6A Brand (250g/8.82oz) Product of Malaysia
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  StesoSHOP Wooden Skewers Premium Quality – Set of 60 Beech Wood Skewers 12-inch – Practical Wooden Sticks for Appetizers Fruits Kebab – Durable and Sturdy – Solid Wood – Suitable for Crafts and Food
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  Lodge Pre-Seasoned Cast Iron Grill Pan With Assist Handle, 10.5 inch, Black

Nutrition Information:

Yield: 10 Serving Size: 1
Amount Per Serving: Calories: 339Total Fat: 25gSaturated Fat: 3gUnsaturated Fat: 21gCholesterol: 47mgSodium: 411mgCarbohydrates: 16gFiber: 3gSugar: 8gProtein: 16g

This data was provided and calculated by Nutritionix on 11/11/2025