Combine all ingredients in a small sauce pan over medium-low heat and bring to a low simmer.
Simmer while whisking or stirring continuously for approximately 5 minutes. During this time, add water if sauce is too thick (normally about ¼ cup depending on actual cooking time and consistency).
Remove from heat and serve.
Notes
*Peanut sauce will keep in a sealed container in the refrigerator for up to five days. When reheating, add water to thin out if needed.