Peel and chop the onion finely. Cut the habaneros in half and chop finely too.
Heat up a pan and add the oil. Fry the onions and habaneros on medium heat for 5 minutes until they soften up, but avoid charring them. Stir every now and then.
Add the rest of the ingredients and let it simmer for 15 minutes on medium heat.
Transfer to a blender or food processor and blend until smooth.