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Preheat oven to 350 degrees F. Cut bacon into 4-inch strips. In a large Dutch oven over low heat, render the fat from the bacon, about 5 to 7 minutes. Remove bacon before it becomes crisp and set aside.
Increase heat to medium-high and add the onion to the bacon fat. Saute 5 minutes, or until onions begin to brown. Add the next 10 ingredients and stir to combine. Remove from heat and lay the reserved bacon slices over the top of the beans. Add 1 cup of water (or enough so that the beans and bacon are completely submerged).
Cover the pot and transfer beans to the oven. Cook until tender, about 4 hours, checking every 45 to 60 minutes to make sure the beans are still submerged (add more water as necessary).
Once beans are tender, uncover and cook an additional 15 to 30 minutes to allow the liquid to thicken and the bacon to brown.