Step 1: Open the can of coconut milk and use a fork to stir the contents until smooth and well combined. In a heavy saucepan or Dutch oven (Le Creuset is excellent for this), bring 1/2 cup of the stirred coconut milk to a boil over medium-high heat. Add the curry paste and cook 1 minute, stirring and mashing the paste into the coconut milk.
Step 2: Add the chicken and cook 2 minutes, stirring often, until the chicken begins to change color. Add the remaining coconut milk, fish sauce, sugar, tamarind liquid and salt and bring to a boil. Reduce the heat to maintain a simmer and cook 15 to 20 minutes, until the potato is tender and the chicken is cooked through.
Step 3: Add the teaspoon of lime juice and stir well. Taste and add more lime juice and/or fish sauce, if desired.
Step 4: Remove from the heat and let stand 10 minutes. Discard the cinnamon stick, or leave it in as a traditional garnish not to be eaten. Serve hot or warm with rice. Garnish with shredded Thai basil and the chopped peanuts.
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