Here is a basic chili sauce that I use to make in large batches when chili is cheap. It is also an excellent way to polish your meat grinder. It will have a brilliant finish afterwards, at least on the inside. Scale at wish:
2 kgs/4.5 lbs fresh chili, any color, any sort
3 Tbsps sea salt
1 tsp sugar
Lactic acid fermentation starter
Muslin
5 gms/3 dr (1/6 oz) oak shavings (optional but recommended)
Distilled vinegar (optional)
Wash and de-stem the chilies. Don't deseed. Cut in pieces. Grind through your meat grinder (coarse plate). Mix the mash with salt, sugar and starter. Cover with muslin and let ferment for four days in room temperature. Stir every day. Add oak shavings tied in a muslin bag and move to the refrigerator. Taste every few days - you don't want the oak to dominate. Discard the oak when satisfactory. Add distilled vinegar if you want a sourer taste. Move to clean jars or bottles and store cold. Will keep for a long, long time, especially if you include the oak which has some antiseptic properties.
If you strain it and add vinegar, you will end up with something that is very similar to Tabasco, since this is the same way that it is manufactured except for a few years of maturity. Personally I prefer it unstrained and without vinegar.