First of all, be safe and wear your gloves before cutting the habanero chilies. Wash chilies and pat dry with a paper towel. Remove the stem and roughly chop the chilies.
If you want to make really hot sauce, do not remove the seeds. For a milder sauce, remove all the seeds from chilies. I recommend you should remove seeds from half chilies and use half chilies with seeds. It will improve the taste of the sauce.
Add all the ingredients to a blender and blend until smooth paste forms.
Pour the mixture into a saucepan and simmer for 10 minutes on medium heat. Stir constantly.
Turn off heat. Allow the sauce cool for few minutes. Press the sauce through a sieve to remove all the seeds.
Transfer the sauce to airtight jars and store in the refrigerator for later use.
Enjoy this sauce with fried chicken, grilled shrimp, tacos, sandwiches and burgers.