In a large stock pot, add olive oil and all the ingredients through cayenne pepper. Cook over medium low, stirring occasionally, until onions have softened.
Stir in the water and tomatoes (I used an assortment of cherry, roma, and slicing tomatoes.) Bring to a boil, reduce to a simmer, and continue to cook until the tomatoes half reduce by about half.
Remove from heat, add the basil, and using either an immersion blender or a regular blender, pulse until mixture becomes smooth. Pass through a sieve twice and pour back into a clean pot.
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