Measure out all ingredients in preparation to cooking the Chili Oil. The recipe may burn if cooked for too long. Preparing the ingredients in advance will ensure a smoother process during cooking time.
Add 1/4 cup of oil to the Saute Pan, then turn on heat to Medium-Low.
Once oil starts to simmer, add Shallots and stir until Shallots turn Golden Brown. From this point on, consistently stir the oil in circular motions until all ingredients have been added to the oil. (This is why it is very important to have all ingredients prepared in advance!)
Once Shallots turn Golden Brown, add Soy Sauce and Chili Bean Sauce to Oil. Stir to blend all ingredients together for 2 minutes
Add all remaining ingredients: Grinded Sichuan Peppercorns, Red Chili Peppers, Sugar, Salt, Bay Leaf, Star Anise, Five Spice and remaining Oil. Stir to blend all ingredients together.
You can stop stirring at this point and allow Chili Oil to Simmer for another 1 minute. After 1 minute, immediately remove from heat.
Once Chili Oil has cooled, carefully transfer to container. (Preferably glass or your plastic container may stain red after emptied)
Drizzle over noodles, entrees, or ice cream.