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Step 1
In a saucepan bring the sugar and water to a boil.
Step 2
Once the syrup begins to caramelize, add in the peanuts, stirring constantly until the sugar reaches a smooth and even consistency with a brownish caramel color.
Step 3
Remove from heat and spread mixture evenly on a greased pan about 4x8.
Step 4
Allow to cool in the refrigerator for 1 hour.
Step 5
When chilled, slice into small squares and serve.