Technical Abstract: Peanut testa (skins, seed coat) are an extremely low value by-product of peanut blanching operations. Several million tons are produced each year. Their commercial value is @12-20 per ton and their limited use is only as a minor component of cattle feed. Research performed to find new uses of peanut skins demonstrated that up to 35% of peanut oil can be recovered from the skins. In some cases the oil can ne a new potential source of behenic and lignoceric acids that are used in body-building formulations as well as ingredients in making shampoos. After removal of the oils the skins were useful for making high quality brandy, liqueur and tea, as well as a source of polyphenolic compounds that may be used in health care products . Peanut skin oil extraction followed by tannin extraction also produces a protein-enriched product that could find its application in mixed feeds for cattle consumption at higher concentrations without any preliminary processing. A simple technique also was offered to use the skins in finishing decorative panels.