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Heat the oil a large frying pan or wok. Tip in the coconut and cook for 3 mins or until starting to toast, then add the curry paste and fry, stirring constantly, until fragrant and sizzling. Add 100ml water and bring to the boil – the water will evaporate and the paste will split. Add the sugar and reduce the heat (the colour will darken).
With the mixture at a simmer, add the fish sauce, lime leaves, lemongrass and squash. Cook for 1 min, stirring to coat the squash in the paste, then add the coconut milk and 200ml more water and bring back to the boil. Reduce the heat and simmer for 20 mins until the squash is cooked.
Turn up the heat again, drop in the prawns and stir well. As soon as the pan returns to the boil, reduce to a low heat and cook for a few mins until the prawns are pink and cooked through. The curry should now be sweet and creamy. To serve, top with the coriander leaves and beansprouts.