Combine the peanuts and arrowroot in a large bowl and set aside. In a food processor or blender, combine the peanut butter, honey, oil and egg. Blend for 30 seconds.
Pour into the bowl with the ground peanut mixture, mix well, and chill for one hour.
Pince off walnut size pieces of dough and roll between your palm into balls.
Roll in chopped peanuts to coat, place about 2" apart on oiled cookie sheets, press each ball lightly to flatten.
Bake at 325 degrees F for 18 to 20 minutes, until lightly brown.
Cool on wire racks and store in airtight containers.
