HEAT oven to 375 degrees F. Combine flour, sugar, baking powder and salt in large bowl; mix well.
BEAT egg in small bowl; whisk in peanut butter. Stir in milk a little at a time; add oil and mix well. Pour into bowl with dry ingredients; stir gently to combine (this is a stiff batter; do not over mix).
LINE a 12 muffin pan with paper muffin cups. Fill the lined cups 1/3 full of batter. Make a shallow indentation in the center of the batter with your finger; do not go to the bottom of the cup.
PLACE 1 teaspoon jelly in each indentation. Top with halved sausage patties. Fill muffin cups 2/3 full with remaining batter.
BAKE 20 minutes until done and golden brown. Remove from oven and cool in pan 5 minutes. Remove from pan and cool on wire rack; serve warm.