Place lamb leg, fat-side up, on small rack in large roasting pan.
In cup, combine chopped parsley, lemon peel, oregano, pepper, 1 tablespoon olive or salad oil, and 1 teaspoon salt. Rub mixture over lamb.
Roast lamb in oven, about 2 to 2¼ hours for medium or until of desired doneness, basting lamb occasionally with pan drippings.
Meanwhile, cut unpeeled potatoes into 1½-inch chunks. In large bowl, toss potatoes with 1 tablespoon olive or salad oil and ½ teaspoon salt. After lamb has roasted about 30 minutes, arrange potatoes around lamb in roasting pan. Roast potatoes with lamb, turning them occasionally and basting with pan drippings.
When lamb is done, place on warm large platter; arrange potatoes around lamb. Let lamb stand 15 minutes for easier carving.
Meanwhile, remove rack from roasting pan. Pour pan drippings into a measuring cup. Let stand until fat separates from meat juice. Skim 1 tablespoon fat from drippings into saucepan; discard any remaining fat. Stir 1 cup water into roasting pan to loosen brown bits; add to meat juice in cup.
Into saucepan over medium heat, stir flour and ¼ teaspoon salt. Gradually stir in meat-juice mixture and cook, stirring constantly, until gravy thickens slightly and boils; boil 1 minute. Serve gravy with lamb.
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