Ingredients

Chicken
1 1/2 cups sliced shallots (about 10)
1/2 cup shredded dried unsweetened coconut (can be toasted coconut found in supermarkets)
1/2 cup chopped fresh cilantro
6 garlic cloves, peeled
6 kaffir lime leaves, thinly sliced
2 fresh Thai chileis, stemmed
1 1-inch chunk fresh galangal, sliced
2 tablespoons vegetable oil
2 pounds boneless chicken thighs with skin, cut into 1-inch pieces
1 teaspoon salt
16 whole fresh lemon grass stalks

Peanut Sauce
1 cup old-fashioned (all natural) smooth peanut butter
1/2 cup low-salt chicken broth
1/4 cup unseasoned white vinegar
3 tablespoons palm sugar
2 tablespoons soy sauce
2 tablespoons minced fresh ginger
2 tablespoons sriracha sauce
1 teaspoon turmeric powder

Method

Chicken
Grind first 7 ingredients in processor to coarse paste.Heat oil in medium skillet over medium heat.Add paste to skillet;do not clean processor.Saute paste about 5 minutes;transfer to large bowl and cool.Add chicken and salt to processor;grind coarsely. Mix chicken into paste in bowl.Clean lemon grass by removing outer layer(s),wash and remove the tips.Press 1/4 cupful of chicken mixture around thick portion of 1 lemon grass stalk in 4-inch-long sausage shape, leaving 1 inch of stalk end exposed. Repeat with remaining chicken mixture and stalks.Prepare barbecue (medium-high heat). Grill until chicken is cooked through,turning often,about 8 minutes.Serve with warm peanut sauce.

Peanut Sauce
Stir all ingredients in small saucepan over medium heat until thickened,about 2 minutes.Season with salt and pepper.Transfer to small bowl.(Can be made 3 days ahead.Cover;chill.Microwave on low setting until lukewarm and stir well before serving.)