Abstract: Shelled peanuts, preferably blanched, are pressed to remove fat from the peanuts and then are cooked in water for a time sufficiently to gelatinize starch and coagulate proteins and also inactivate enzymes while destroying microorganisms. The cooked nuts are then fragmented into particles as by dicing for relatively large particles, or by grinding, for small size particles to make paste or, with drying, to make flour, for example. The particulate product, as a flour, may be used for baking or may be added to water to form milk substitutes. Shredded and diced nuts so treated may be used as food extenders, fillers and the like. The resulting product is of high protein content characterized by a long shelf life and extremely flexible with respect to water content.